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HFA 02-17-16RESOLUTION NO.HFA 02-17-16 A Resolution of the City of South Miami Health Facilities Authority (the "Authority")to approve and to transmit the Authority's Annual Report to the City of South Miami City Commission and Miami-Dade County Commission. WHEREAS,the City of South Miami Health Facilities Authority (the "Authority") wascreated pursuant totheHealthFacilities Authorities Law,PartIII of Chapter 154 of the Florida Statutes,as amended (the"Act"),upona delineation of aneedforthe Authority by the South Miami City Commission under Section 154.207(1)of theAct;and WHEREAS,pursuant toCity of SouthMiami Ordinance No.11-95-1584 (the "Ordinance"),Chapter 154,PartIIIand Chapter 159,Part II,Florida Statutes,the Authority is vested withthe power to authorize the issuance andsale of bonds,andtotakevarious other actions forthe purpose of assisting health facilities inthe acquisition,construction, renovating,rehabilitating,furnishing,equipping,financing and refinancing of projects;and WHEREAS,Ordinance 11-95-1584,Section 4,sets forth the "Powers and Duties of the Authority,"and requires the Authority to"Tomakea report tothe Commission within the first 90-days of each calendar year,of the Authority's activities forthe preceding calendar year.Each report shallsetfortha complete operating and financial statement covering its operation during the year." WHEREAS,acopy of thefinancialreport,bythe chief financialofficerfortheCity of SouthMiamipreparedafinancialreportfortheAuthoritywhichisattachedheretoasExhibitA; and WHEREAS,the Authority wishesto approve the attached Annual Report andto designate certain individuals toactonits behalf intheseregardsandto execute anddeliverthe AnnualReportandtakeanyotherrequiredactionsinconnectiontherewith. NOW,THEREFORE,BE IT RESOLVED BY THE CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY THAT: Section 1.The Authority hereby approves the Authority's Annual Report prepared on behalf of the Authority bythe Chief Financial Officer fortheCity of South Miami,which is attached hereto as Exhibit A.The Annual Report willbe transmitted tothe City of South Miami City Commission and Miami-Dade County Commission. Section 2.Severability.If any section,paragraph,clause or provision of this Resolution shall be held tobe invalid or ineffective forany reason,the remainder of this Resolution shall continue infullforceand effect,it being expressly hereby found and declared that the remainder of this Resolution would have been adopted despite the invalidity or ineffectiveness of such section,paragraph,clause or provision. Section 3.Effective Date.This Resolution shall take effect immediately upon its adoption. Res.No.HFA 02-17-16 PASSED AND ADOPTED this 3rd day of March,2017. >T:APPROVED: CHAIR AUTHORITY VOTE: Chair: Vice Chair: Member: Member:(Vacant) Member:(Vacant) Page 2 of2 3-0 Subrata Basu Yea EugenePugh Yea Lydia Puente yea 'wmmw'WtMNmMBHmE 32SE NEIGHBORS FROMPAGE24SE CALENDAR tie's senior auctioneer and in ternationally known auctioneer trainer,ofall the Arts to save children. Street Art for Mankind brings over 30 street artists from around the world together to create a two-story masterpiece maze made of 65 murals. Through.this ten-day artexhibi tion,SAMaimsto shed lighton thetragicrealityofchildlabor and child slavery.Funds raised will benefit Nobel Peace Prize winner Kailash Satyrthi's founda tion,"raid and rescue"activities and the creation of "child friendly villages".Feb.2010 a.m.-6 p.m. $0-$150 Street Artfor Mankind 7410 NW Miami Ct.Miami. Tuesday,Feb.21 2017It'sSo Miami Wedding Showcase With more than 60 wedding relevant vendors,the 2017It'sSoMiami Wedding Showcase offers every couple the perfect opportunity toplanthe perfect wedding or event! Taste sweet and savory sam plesfrom top caterers,find out about Miami's unique wedding venues,get tips and ideas from CRIMEWATCHweddingandeventplanners,plus learn about new bridal make up and dress trends. All registered guests willhave the chance to enter to win tons of fabulous prizes,including hotel stays,a honeymoon cruise fortwo and round-trip airline tickets on AeroMexico. Complimentary glassofcham pagne included with$10admis sion. Register at:www.MiamiRo- manceMonth.com/register Interested in being vendor? Contact Ali@GMCVB.com.Feb.21 5:30 p.m.-8:30 p.m.$10inad vance:$20 at the door Hotel Colonnade Coral Gables 180 Aragon Ave..CoralGables. Jannis Kounellis at the Margu- lies Collection at the Warehouse JannisKounellis,Paintings 1983- 2012.Through April 29.2017.Feb. 21.Feb.22,Feb.23.Feb.24,Feb. 2511 a.m.-4p.m.$10Admission, In-state students FREE.Out-of- state students $5.All proceeds benefit the LotusVillage,a homeless shelter for women and children TheMarguliesCollection at the Warehouse 591NW 27th SEE CALENDAR,33SE both individual and collective. Feb.1912 p.m.-4 p.m.;Feb.21- Feb.2510 a.m.-4p.m.:Feb.2612 p.m.-4 p.m.Includedin admission University ofMiami-LoweArt Museum 1301 Stanford Dr..Coral Gables. Wynwood's Sunday School Miami's most diverse art gallery, cafe and live music event space willhostoffevery Sunday,kick ingthingsoffwithaspecial edition of Wynwood's Sunday School.Join an impressive roster ofDJs including DJs.Heron, SelfBorn,Klassik,Johnny Walker RedandExesplayingalltheold school classics,Feb.19,Feb.264 p.m.-11p.m.FreeWynwood Warehouse Project 450 NW27th St.,Miami. Monday,Feb.20 Live Auction of the Art to Save Children at Street Art for Man kind Live auction conducted by Barbara Strongin,former Chris CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY NOTICE OF ANNUAL MEETING PUBLIC NOTICE IS HEREBY GIVEN thattheCityofSouthMiamiHealth Facilities Authority(the "Issuer")will meet inpublicsessiononFriday..March3. 2017,at4:30p.m.intheCityofSouthMiamiCityHall Commission Chambers. 6130 SunsetDrive.SouthMiami.Floridafortheapprovalofthe following Resolution: A Resolution of the City of South Miami Health Facilities Authority (the "Authority**)to approve and to transmit the Authority's Annual Report to the City of South Miami City Commission and Miami-Dade County Commission. PursuanttoSection286.0105ofthe Florida Statutes,asamended,theIssuerhereby advisesthatifapersondecidestoappealanydecisionmadebythe Issuer withrespectto any matter consideredatsuchmeeting,suchpersonwillneedarecordoftheproceedings and.forsuch purpose,mayneedto ensure thataverbatimrecordoftheproceedingsis made,whichrecordincludesthe testimony and evidence uponwhichtheappealisbased. Maria M.Menende/..CMC City Clerk City ofSouth Miami City of South Miami Health Facilities Authority BY CARMEN GONZALEZ CALDWELL SpecialtoTheMiamiHerald Like our Youth Crime Watch program,Neigh borhood Watch is definite lyat the forefront of crime prevention andwe are very proud ofthe recognition wegetfrom national pro grams acrossthe country. Note that some neigh borhoods and municipal ities have their own pro gramsandcriteria.Here's information about Citizens' Crime Watch of Miami- Dade andhowyou can get involved: 1.When a resident calls our office,we take are quest for service,listing all their information and con cerns so that we may then forward them to the appro priate law enforcement department. 2.Crime watch meetings areheldinthe evenings during theweek,normally at7p.m.,agood time for most to be home from work. 3.Neighborhood meet ings preferably are held at a nearby home so people can just walkto the loca tion.This has been found across the country tobe much more effective since the objective isto meet and get toknowyour neigh SUNDAYFEBRUARY192017 MIAMIHERALD.COM bors. In some areas,this part maynotbe possible due to crime issues,sowetryto find a safe location nearby for the meeting —a church,clubhouse or,in many cases,in the middle of the street.In apartment buildings,we sometimes hold meetings in parking lots. 4.Oncea meeting date has been established with thepolice officer and the resident hosting the meet ing,fliers and brochures are provided tobe distrib uted toall the neighbors. We provide this in English, Spanish and Creole.Thisis to inform everyone ofthe meeting;the brochure speaks to the implementa tion of Neighborhood Watch. 5.The night of the meet ing,the police officer and someone from the crime watch office attends.The officer provides informa tion regarding crime trends,crime statistics, what his role is as a com munity officer and what his department is doing to assist the community,and also discusses alarm issues, as well as how and when to callthe police. We teach residents what is needed when calling the police about a suspicious person or vehicle,and we answer questions. 6.Our coordinator ex plains howto set upa phone chain —a collection of phone numbers,ad dresses and special needs Miami Herald File Barbara Krause,Citizens' Crime Watch of Miami-Dade Executive Director Carmen Caldwell and Yviane McGhee at Silver Palms Community in Southwest Miami-Dade. or information pertinent to their homes.When the phone chain is completed, itis shared with all the neighbors participating in the crime watch. At this point we then provide the crimewatch signs,house stickers and T-shirts,allfreeof charge —weare funded byyour tax dollars through the county commission. We at Citizens'Crime Watch areveryproudofall the residents who have stepped uptotheplateto improveourqualityoflife, but also for their continuous support inkeepingMiami- Dadeinthelimelightacross the country for oureffortsto control crime. Carmen Caldwell is executive director of Citizens'Crime Watchof Miami-Dade.Sendfeedback andnewsforthiscolumnto carmen@citizen$crime watch.org,orcallherat 305-470-1670. iJStk .EXfflBIT Ao: FINANCE DEPARTMENT 'V •- March 3,2017 Mayorand Commission Re:City of South Miami Health Facilities Authority 2017 Annual Report Hon.Mayor,ViceMayorand Commissioners: As required by Ordinance I 1-95-1584 Section4,"Powers and Duties of the Authority/'which requires the South Miami Health Facilities Authority to "To makea report to the Commission within the first 90-days ofeach calendar year,of the Authority's activities for the preceding calendar year.Each report shall set forth a complete operating andfinancial statement covering its operation during the year." In 1995,the City Commission of the CityofSouth Miami,Florida determined that for the benefit of the people of the City,the increase of their commerce,welfare and prosperity and the improvement of their healthand living conditions,itwas essential that the people of the Cityhaveaccess to adequate medical care andhealthfacilitiesand that itwasessential that healthfacilitiesbe provided with appropriate additional means to assist in the development, improvement and maintenance of the publichealth;and that a Health Facilities Authority would provideadditionalmeans to assistinthe development and maintenance of the City'shealth facilities;andwas established under Section 154.207 of the Florida Statutes,authorizing the City to create apublicbody to insure that the people of the Cityhave access to adequate medical care and health facilities. In August 12,2013,the Internal Revenue Service completed their examination of the bond issue $800,000,000 Cityof South Miami HealthFacilities Authority Hospital Revenue Bonds,Series 2007(BaptistHealth South FloridaObligated Group)CUSIP #8388I0BY4,issuedMay 16,2007 withno change to the position that interest received by bondholders is excludable from gross income under section 103 of the Internal Revenue Code. In calendar year 2016,the South Miami Health Facility Authority conducted nobusiness.The board last met onMarch29,2016 to approve and to transmit the Authority's Annual Report. Furthermore,atthis time the South Miami Health Facility Authority hasnobank account and has not conducted any further operation. Ifyou should haveany questions,pleasefeelfree to contact meatany time.Thank youalways for the continued support. Since Alfredo RivWbl,CPA,Cr.FA,CGFM,CGMA Chief Financial Officer CITYOF SOUTH MIAMI,FLORIDA NOTES TO FINANCIAL STATEMENTS SEPTEMBER 30,2015 Note 9—Long-term liabilities of governmental activities (continued) Notes Payable: The City previously entered into promissory note agreements witha financial institutionto finance the purchase oflaw enforcement vehicles and multi-space parking meter stations totaling approximately $576,000.The notes require aggregate monthly payments of $10,202,including interest at 2.355%and 2.5451%per annum.Both notes expire duringfiscal year 2016.Asof September 30,2015,the balance outstanding was $42,611. TheCitypreviously entered intoan agreement withathirdpartytofinancean upgrade toitsCityHall management computer software for approximately $172,000.The agreement requires annual payments of $34,414 and bears no interest.This note matured in 2015. TheCitypreviously entered intoInter-Local agreements withMiami-DadeCountyforthe purchase ofpolice radiosandfora stormwater drainage project.The cost fortheradiosandproject was approximately $247,000 and $270,000,respectively,and are payable inten years.Asof September 30,2015,thetotal balance outstanding was $135,436. Annual debt service requirements tomaturityfor notes payable are as follows: Fiscal Year Ending September 30,Principal 2016 $89,620 2017 20,000 2018 20,000 2019 20,000 2020 28,427 Total $178,047 Capital Leases: Interest Total 1,768 1,768 $91,388 20,000 20,000 20,000 28,427 $179,815 TheCitypreviously entered intoacapital lease arrangement forlaw enforcement vehicles totaling approximately $228,000.The lease expired onJuly 2015.Interest rate was 3.18%. Conduit Debt Obligation: The Cityof South MiamiHealthFacilitiesAuthority was created to issue Healthcare Facilities Revenue Bonds to providefinancial assistance to the City's private-sector hospitals for the acquisition and construction offacilities deemed tobein the public interest.The bonds are secured bythe property financed and are payable solely from revenues derived from the private-sector hospitals. In 2007,the Baptist Health South Florida ("BHSF")issued through the Cityof South MiamiHealthFacilities Authority,$800,000,000 ofitsHospital Revenue Bonds,Series 2007("2007Bonds").The proceeds fromthe bonds were used torefund then outstanding bonds andto acquire,construct,equip,and rehabilitate certain health care facilitiesofBHSF.The 2007 Bonds bear interest at rates rangingfrom 4.62%to 5.00%,payable semiannually each February 15 and August 15,and mature annually through 2042.Asof September 30,2015, the outstanding principal amount payable was $714,925,000. The City acts solely as alawful conduit in the issuance of the bonds and isnot obligated in any manner for their repayment.Accordingly,the bonds are not reported as liabilitiesin the accompanying financial statements. 39 RESOLUTION NO.HFA 1-98-1 A RESOLUTION OF THE CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY (THE "AUTHORITY"),(i) AUTHORIZING THE ISSUANCE AND SALE BY THE AUTHORITY OF ITS CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY HOSPITAL REVENUE BONDS, SERIES1998 (BAPTIST HEALTHSYSTEMS OBLIGATED GROUP)(THE"BONDS")INANAGGREGATE PRINCIPAL AMOUNT NOT TO EXCEED $144,000,000 TO PROVIDE FUNDS TO(1)PAYOR REIMBURSE BAPTIST HEALTH SYSTEMS OF SOUTH FLORIDA,INC.(THE "PARENT"), BAPTIST HOSPITAL OF MIAMI,INC.("BAPTIST HOSPITAL"), SOUTHMIAMIHOSPITAL,INC.("SOUTHMIAMI"), HOMESTEAD HOSPITAL,INC.("HOMESTEAD")ANDKEYS HOSPITAL FOUNDATION,INC.,DOING BUSINESS AS MARINERS HOSPITAL ("MARINERS"AND,TOGETHER WITH THE PARENT,BAPTIST HOSPITAL,SOUTH MIAMI AND HOMESTEAD,THE "BORROWERS"),EACH A FLORIDA NOT FOR PROFIT,NONSTOCK MEMBERSHIP CORPORATION,FOR THE PAYMENT OF,OR TO REFINANCE CERTAIN PRIOR DEBT THE PROCEEDS OF WHICH WERE USED TOPAY,COSTS OF ACQUIRING, CONSTRUCTING,RENOVATING,REHABILITATING AND EQUIPPING CERTAIN HEALTHCARE FACILITIES,(2)FUND A DEBT SERVICE RESERVE FUND FOR THE BENEFIT OF THE BONDS IF SUCH FUND IS DEEMED NECESSARY OR DESIRABLE BY THE PARENT AND THE AUTHORITY,AND (3)PAY CERTAIN COSTS INCURRED IN CONNECTION WITH THE ISSUANCE OFTHEBONDS;(ii)AUTHORIZING THE EXECUTION AND DELIVERY OF A BOND PURCHASE AGREEMENT FOR THE SALE OF THE BONDS; (iii)AUTHORIZING THE EXECUTION AND DELIVERY OFA BOND TRUST INDENTURE SECURING THE BONDS;(iv) AUTHORIZING THE EXECUTION AND DELIVERY OF A LOAN AGREEMENT PROVIDING FOR THE LOAN OF THE PROCEEDS OF THE BONDS TO THE PARENT;(v) APPROVING THE FIFTH SUPPLEMENTAL MASTER TRUST INDENTURE OF THE BORROWERS;(vi)AUTHORIZING THE EXECUTION AND DELIVERY OF A TAX EXEMPTION AGREEMENT AND CERTIFICATE WITH RESPECT TO THE BONDS;(vii)AUTHORIZING THE DISTRIBUTION OF A PRELIMINARY OFFICIAL STATEMENT AND THE Pagel of 13 EXECUTION AND DELIVERY OF AN OFFICIAL STATEMENT IN CONNECTION WITH THE ISSUANCE OF THE BONDS; (viii)APPROVING CREDIT SUPPORT FOR THE BONDS;(ix) AUTHORIZING THE EXECUTION AND DELIVERY OF TWO INTERLOCAL AGREEMENTS;(x)PROVIDING THAT THE BONDS SHALL NOT CONSTITUTE A DEBT,LIABILITY OR OBLIGATION OF THE CITY OF SOUTH MIAMI,FLORIDA OR OF THE STATE OF FLORIDA OR OF ANY POLITICAL SUBDIVISION OR AGENCY THEREOF,BUT SHALL BE PAYABLE SOLELY FROM THE REVENUES PROVIDED THEREFOR,AND THAT NEITHER THE FAITH AND CREDIT NOR ANY TAXING POWER OF THE CITY OF SOUTH MIAMI, FLORIDA OR OF THE STATE OF FLORIDA OR OF ANY POLITICAL SUBDIVISION OR AGENCY THEREOF IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF, PREMIUM,IF ANY,OR INTEREST ON THE BONDS;(xi) PROVIDING FOR OTHER RELATED MATTERS;(xii)AND PROVIDING AN EFFECTIVE DATE. WHEREAS,theCity of SouthMiamiHealthFacilitiesAuthority(the"Authority")was created pursuant tothe Health Facilities AuthoritiesLaw,Part III of Chapter154 of the Florida Statutes,asamended(the"Act"),upona determination of aneedforthe Authority bytheSouth MiamiCityCommissionunder Section 54.207(1)oftheAct;and WHEREAS,pursuanttoCity of SouthMiamiOrdinanceNo.11-95-1584(the "Ordinance"),Chapter 154,Part III and Chapter 159,Part II,Florida Statutes,theAuthorityis vested withthepowertoauthorizetheissuanceandsale of bonds,andtotakesuchotheractions identifiedinthetitle of this resolution,for the purpose of assisting health facilities inthe acquisition,construction,financing and refinancing of projects;and, WHEREAS,theAuthorityis authorized toissuerevenuebondsandloanthe proceeds thereoftoa "health facility,"as defined inthe Ordinance,forthe purposes of financing the "cost" of a "project,"assuchterms are defined inthe Ordinance,and refunding outstanding obligations issuedbyoronbehalf of a health facility to provide funds forthecost of a project;and WHEREAS,BaptistHealthSystems of South Florida,Inc.(the "Parent"),Baptist Hospital of Miami,Inc.("Baptist Hospital"),SouthMiami Hospital,Inc.("SouthMiami"), Page2 of 13 HomesteadHospital,Inc.("Homestead")andKeysHospitalFoundation,Inc.,doingbusinessas MarinersHospital("Mariners"and,togetherwiththeParent,BaptistHospital,SouthMiamiand Homestead,the"Borrowers"),eachaFloridanotforprofit,nonstockmembershipcorporation, haverequestingtheAuthoritytoassisttheBorrowersinobtainingfundstobeusedto(i)payor reimbursethe Borrowers forthepaymentof,orto refinance certainpriorindebtednessthe proceeds of whichwereusedtopaycosts of acquiring,constructing,renovating,rehabilitating and equipping certainhealthcarefacilities(the"Project"),(ii)fond adebtservicereserve fond for the benefit of the Bonds if suchfondisdeemed necessary or desirable bythe Parent andthe Authorityand(iii)paycertaincostsincurredinconnectionwiththeissuance of theBonds;and WHEREAS,inordertoobtainfundsforsuchpurposes,theAuthoritydesirestoauthorize theissuanceandsale of nottoexceed$144,000,000inaggregateprincipalamount,excluding anyoriginalissuediscount,of itsCity of SouthMiamiHealth Facilities Authority Hospital Revenue Bonds,Series1998(BaptistHealthSystemsObligatedGroup)(the"Bonds")andthe loan of the proceeds fromthesale of theBondstothe Borrowers,all under and pursuant tothe Bond Trust Indenture andtheLoan Agreement hereinafter referredto;and WHEREAS,other thantheportion of theProjecttobeusedbySouthMiami,the Project is or willbe located outside of the boundaries of theCity of South Miami,Florida;and WHEREAS,the Authority isa"publicagency"asdefinedinSection163.01,Florida Statutes,asamended,whichistitledthe"FloridaInterlocalCooperationAct of 1969"(the "InterlocalAct")andassuch"publicagency"isauthorizedtoenterintointerlocalagreements pursuant tothe Interlocal Act,forthe joint exercise of powerswhichitsharesin common with otherpublicagenciesandwhichsuchpublicagenciesmightexerciseseparately;and WHEREAS,in order toaccomplisheconomies of scaleand other costsavings,andto reduce the costs of providing healthcareservicesintheareas served bythe Borrowers,the Authoritydesirestoassistthe Borrowers byissuingtheBonds;and WHEREAS,the Authority hasbeenrequestedtoenterinto interlocal agreements with Miami-DadeCounty,FloridaandMonroe County,Florida,eacha"public agency"underthe Page 3 of 13 InterlocalAct,toprovidefortheissuancebytheAuthority of itsBondsforthebenefit of the Borrowers (otherthanSouthMiami);and WHEREAS,the Authority furtherdesiresto authorize thesale of the Bonds bya negotiatedsaletoan underwriting syndicateorsellinggroupledbyMerrill Lynch &Co (collectively,the"Underwriters"),sincetheParenthasrequestedsuchsaletotheUnderwriters andsinceit appears totheAuthority,forthereasons hereinafter setforth,thatanegotiatedsale of the Bonds rather thana public saleby competitive bidisinthe best interests of the Authority and the Borrowers;and WHEREAS,authorizing theissuanceandsale of theBonds,asprovidedforinthis resolution,furthersthe purpose oftheOrdinance. NOW,THEREFORE,BeItResolvedbytheCity of SouthMiami Health Facilities Authority as follows: Section 1.Findings. The Authority hereby findsand determines that: a.The Borrowers areeacha"health facility"withinthemeaning of Section2(f)of the Ordinance. b.PursuanttoSection4 of the Ordinance,theAuthorityisauthorizedand empowered to enter intotheLoanAgreementhereinafterreferredto. c.Pursuant to Section 218.385 of the Florida Statutes,as amended,thesale of the BondstotheUnderwritersonthebasis of anegotiatedsaleratherthanapublicsaleby competitive bidisinthebestinterests of theAuthorityandtheBorrowers;andthe Authorityherebyfurtherfindsanddeterminesthatthefollowingreasonsnecessitatesuch sale ofthe Bonds to the Underwriters through a negotiated sale: i.Bondsissuedbypublicbodiesforthebenefit of not-for-profithospital corporations ("HospitalBonds")generally involve specialized situationsand transactions whichneeddetailedanalysis,structuringandexplanation throughout thecourse of theissuebysophisticatedfinancialadvisors,underwriters, investment bankers andsimilarparties,suchasthe Underwriters,experienced in Page4 of 13 thestructuring of issues of HospitalBonds(hereinafterreferredtocollectivelyas "Health-care Underwriters"andindividuallyasa"Health-careUnderwriter"), much of whichwouldnotgenerallybeavailableonatimelybasisfromthe ultimateunderwriterofHospitalBondsissuedpursuanttoapubliccompetitive sale. ii.HospitalBondissuesgenerallyinvolvearatherdetailedandoften complicated explanation to potential investors of thestructure of theissue,the nature of theunderlying hospital corporationandtheimpactuponeach of the foregoing of federal andstatehealthcare regulations,includingMedicareand Medicaidpracticesand procedures,andtheassistance of aHealth-care Underwriterin preparingnecessary offering memoranda,official statementsand relatedinformationisdesirablefromthestandpoint of thehospitalcorporation involvedintheissueandfromthestandpoint of thepublicbodyissuingthe HospitalBondsininsuringfullandaccuratedisclosure of allrelevantinformation. iii.Fortheforegoingandrelatedreasons,most of theHospitalBonds heretoforeissuedthroughouttheUnitedStateshaveinvolvedparticipation throughoutthestructuringandofferingprocess of Health-careUnderwriterswho havepurchasedorarrangedforthepurchase of theHospitalBondsthrougha negotiatedsaleratherthanthroughapublicsalebycompetitivebid;accordingly, themarketmaywellbemorereceptivetoanissue of HospitalBondssoldona negotiated basisthantoonesoldby competitive public sale. iv.Consequently,thepresence oftheUnderwritersthroughoutthestructuring of theBondissueisdesirableinattemptingtoobtainthemostattractivefinancing fortheAuthorityandtheBorrowers. Section 2.Authorization of Bonds. TheAuthorityshallfinancetheProject,certainrelatedexpenses,includingfiscal, legalandotherincidentalcostsand charges,bondinsurancepremiumandotherfeesand expensesassociatedwithcreditsupportandthefonding of adebtservicereservefond,if deemednecessary,andinordertoaccomplishthesame,thereisherebyauthorizedthe issuance of nottoexceed$144,000,000inaggregateprincipalamount of theCity of SouthMiamiHealthFacilitiesAuthorityHospitalRevenueBonds,Series 1998 (Baptist HealthSystemsObligatedGroup)of theAuthority.Theprincipal of theBondsandthe premium,if any,and interest thereonshallnotbedeemedto constitute adebt,liability or obligation of theCity of SouthMiami,Florida or of theState of Florida or of any political subdivision oragencythereof,butshallbepayablesolelyfromtherevenues Page 5 of 13 providedtherefor,andneitherthefaithandcreditnoranytaxingpower of theCity of SouthMiami,Floridaor of theState of Floridaor of anypoliticalsubdivision thereof is pledgedtothepayment of theprincipalof,premium,if any,orinterestontheBonds. The Bonds shall: (1)beissuedinan aggregate principal amount,excluding anyoriginalissue discount, not exceeding $144,000,000; (2)beissuedinfollyregisteredforminsuch denominations asprovidedintheBond Trust Indenture hereinafter referred to; (3)bearinterestat stated ratesnot exceeding 5.25%; (4)maturenolaterthan 35 yearsfromthedate of issuance;and (5)bedatedasprovidedintheBondTrust Indenture. Theexact principal amount of the Bonds,the interest rates thereon andthe final maturity dates thereof shall be fixed,within the foregoing limits,and the optional and mandatory redemption provisions thereof shall be fixed as provided intheBondTrustIndenture hereinafter referred toandas approved bythe Chairperson orVice Chairperson ofthe Authority executing thesame,withsuchexecutionto constitute conclusive evidence of such officer's approval andthe Authority's approval of the final terms ofthe Bonds. TheBondsshallbe executed onbehalfofthe Authority bythe manual or facsimile signature ofits Chairperson or Vice Chairperson and shall have impressed or printed by facsimilethereonthecorporateseal of the Authority attestedwiththemanualor facsimile signature ofa Member ofthe Authority designated for such purpose as provided in Section 4 hereof InotherrespectstheBondsshallbeintheforms,shallbearinterest,shallbe executedandauthenticated,shallbesubjecttoreplacementandshallbedeliveredas provided in the Bond Trust Indenture hereinafter referred toand set out as Exhibit A attached hereto. Page6 of 13 Section 3.Authorization of Sale:Authorization of Execution and Delivery of Bond Purchase Agreement. TheAuthoritydoesherebyauthorizethesale of theBondstotheUnderwriters; provided,however,thattheBondsshallbesoldwithtermswithinthelimitssetforthin Section2 hereof andthatthetotalcompensationpaidtothe Underwriters,includingany underwriting discount,shallnotexceedanamountequalto0.75%of theaggregate principalamount of theBonds.The Authority doesherebyauthorizeandapprovethe executionanddeliveryon behalf of theAuthoritybyits Chairperson orViceChairperson of theBondPurchaseAgreementtobedatedthedate of thesale of Bonds(the"Bond Purchase Agreement")amongthe Authority,theParentandMerrillLynch&Co.,acting on behalf of itself and the other Underwriters to be named therein.The Bond Purchase Agreementshallbein substantially theformthereofattachedheretoandmarked"Exhibit B"andhereby approved,withsuchchangesthereinasshallbeapprovedbythe Chairperson orVice Chairperson executing the same,withsuchexecutionto constitute conclusiveevidence of suchofficer'sapprovalandtheAuthority'sapproval of any changesthereinfromtheform of BondPurchaseAgreementattachedhereto. Theaward of thesale of theBondstotheUnderwritersisexpresslyconditioned uponthereceiptbythe Authority ofa disclosure statement ofthe Underwriters prepared in accordance with Section218.385 of the Florida Statutes,asamended,whichreceipt shallbeevidencedbythe Authority's execution anddelivery of theBond Purchase Agreement.TheBond Purchase Agreement shall alsocontaina "Truth-in-Bonding Statement"in conformance withtherequirements of Section 218.385 of theFlorida Statutes,as amended. Section 4.Designation of Attesting Member. Leon Valentine or,inthecase of such Member's absence or inability toact, BarbaraAckeror Elizabeth Hutson Claviio,allMembersoftheAuthority(the "DesignatedMembers"),areherebydesignatedandauthorizedon behalf of theAuthority Page 7 of 13 toattesttotheseal of the Authority andtothesignatureofthe Chairperson orVice Chairperson ofthe Authority astheyappearontheBonds,theBondTrust Indenture,the LoanAgreementandtheInterlocal Agreements,eachashereinafterreferredto,andany otherdocumentswhichmaybe necessary or helpful inconnectionwiththeissuanceand delivery of theBondsandinconnectionwiththeapplication oftheproceeds thereof Section 5,Authorization of Execution and Delivery of Bond Trust Indenture. The Authority does hereby authorize and approve the execution bythe ChairpersonorViceChairpersonandany of theDesignateMembers of theAuthorityand thedelivery of aBondTrustIndenture(the"BondTrust Indenture")between the AuthorityandFirstUnionNationalBank,asbondtrustee(the"BondTrustee"),providing fortheissuancethereunderoftheBondsandsettingforththetermsandprovisions applicable totheBonds,includinga description of the underlying securityfortheBonds and expressing the contract betweentheAuthorityandtheholdersthereof.TheBond Trust Indenture shallbeinsubstantiallytheform thereof attachedheretoandmarked "ExhibitA"andherebyapproved,withsuchchangesthereinasshallbeapprovedbythe ChairpersonorViceChairpersonexecutingthesame,withsuchexecutiontoconstitute conclusiveevidence of suchofficer'sapprovalandtheAuthority'sapproval of any changes therein fromtheform of Bond Trust Indenture attached hereto. Section6.Authorization of Execution and Delivery ofLoan Agreement. TheAuthoritydoesherebyauthorizeandapprovetheexecutionbythe ChairpersonorViceChairpersonandany of theDesignatedMembers of theAuthority andthedelivery of aLoanAgreement(the"LoanAgreement")betweentheAuthority andthe Borrowers,providingfortheloan of theproceeds of theBondstotheBorrowers. TheLoanAgreementshallbeinsubstantiallytheform thereof attachedheretoand marked"ExhibitC"andherebyapproved,withsuchchangesthereinasshallbeapproved bythe Chairperson or ViceChairperson executing thesame,withsuch execution to Page8 of 13 constitute conclusive evidence of suchofficer'sapprovalandthe Authority's approval of any changes therein fromtheform of Loan Agreement attached hereto. Section 7,Approval of FifthSupplemental Master Trust Indenture andtheSeries 1998 Obligation. Theloan of Bondproceedstothe Borrowers willbesecuredbythe Direct Note Obligation,Series 1998 (the"Series 1998 Obligation")of the Parent payabletotheBond Trusteeinaprincipalamountequaltotheaggregate principal amount of Bonds,which Series1998 Obligation willbeissuedundertheFifth Supplemental Master Trust Indenture(the"Fifth Supplemental MasterIndenture")amongtheBorrowers,South Miami Health Systems,Inc.("SMHS")andFirstUnionNational Bank as master trustee (the"MasterTrustee"),whichsupplementsandamendstheMasterTrustIndenturedated as of March1,1993,aspreviouslysupplementedandamended,amongtheBorrowers, SMHSandtheMaster Trustee.TheAuthorityherebyapprovestheexecutionbythe Borrowers,SMHSandthe Master Trustee of theFifth Supplemental Master Indenture (includingtheform of theSeries1998Obligationassetforththerein),whichshallbein substantiallytheformsthereofattachedheretoandmarked"ExhibitD"andhereby approved,withsuchchangesthereinasshall approved bytheChairpersonorVice ChairpersonexecutingtheLoanAgreement,withsuchexecution of theLoanAgreement to constitute conclusiveevidence of suchofficer'sapprovalandtheAuthority'sapproval of anychangesthereinfromtheform of FifthSupplemental Master Indentureattached hereto. Section 8.Authorization of Execution and Delivery of Interlocal Agreements. TheAuthoritydoesherebyauthorizeandapprovetheexecutionbythe Chairperson orVice Chairperson of theAuthorityandthe delivery of an Interlocal Agreement between theAuthorityandMonroeCounty,Florida (the "Monroe Interlocal Agreement")andanInterlocalAgreementbetweenthe Authority and Miami-Dade County,Florida (the "Dade Interlocal Agreement"and together withthe Monroe Page 9 of 13 InterlocalAgreement,the"Interlocal Agreements").TheInterlocalAgreementsshallbe insubstantiallytheforms thereof attachedheretoandmarked"Exhibit E"and"Exhibit F",respectively,andherebyapproved,withsuchchangesthereinasshallbeapprovedby the Chairperson orViceChairpersonexecutingthesame,withsuchexecutionto constitute conclusive evidence of suchofficer'sapprovalandthe Authority's approval of any changes therein from the forms of Interlocal Agreements attached hereto. Section9.Authorization of ExecutionandDelivery of TaxExemptionAgreement. TheAuthoritydoesherebyauthorizeandapprovetheexecutionbythe ChairpersonorViceChairperson of theAuthorityandthedelivery of aTaxExemption Agreement and Certificate tobedatedthedate of theissuanceanddelivery of theBonds (the"Tax Exemption Agreement")among the Authority,theBondTrusteeandthe BorrowersestablishingaRebateFundthereunderinordertoprovideforcertainpayments totheUnitedStatesasrequiredby applicable Treasury Regulations.TheTaxExemption AgreementshallbeinsuchformasisapprovedbytheChairpersonorViceChairperson executing the same,with such execution to constituteconclusive evidence of such officer's approval andthe Authority's approval ofthe form of Tax Exemption Agreement. Section 10.Authorization of Preliminary Official Statement and Official Statement. TheAuthorityherebyauthorizestheuseanddistributionbytheUnderwriters of a Preliminary Official Statement ofthe Authority andthe Borrowers (the "Preliminary Official Statement"),in substantially theformthereofattachedheretoand marked "Exhibit G."in connection withthe offering of the Bonds.The Chairperson orVice Chairperson ofthe Authority is hereby authorized and empowered,forandonbehalfof theAuthority,toexecuteanddeliverafinalOfficial Statement of theAuthorityandthe Borrowers relatingtotheBondsinsubstantiallytheform of thePreliminaryOfficial Statement,butwithsuchchangesthereinasmaybenecessarytoreflectthesale of the Bondsonthetermsherebyauthorizedandwithsuchfurtherchangesthereinasthe Page 10 of 13 ChairpersonorViceChairpersonshalldeemnecessaryordesirableasconclusively evidenced by such officer's execution thereof. Section 11.Approval of CreditSupport. InordertoprovidecreditsupportfortheBonds,MBIA InsuranceCorporation (the"BondInsurer")willissueafinancialguarantyinsurancepolicyinsuringthepayment of theprincipal of andinterestontheBonds.TheAuthorityherebyapprovestheBond Insurer asthe provider of suchcreditsupport. Section 12.Authentication and Delivery of Bonds. Upontheexecution of theBondsinaccordancewiththeprovisions of theBond Indenture,theChairpersonorVice Chairperson of theAuthorityshalldepositthesame withtheBondTrusteeforauthenticationanddeliverytoorupontheinstructions of the Underwriters.TheBondTrusteeisherebyrequestedtoauthenticateanddeliverthe Bondsin accordance withtheBondIndenture.The Chairperson orViceChairperson shallreceiveandreceiptfortheproceeds of thesale of theBondsan behalf of the AuthorityandshalldepositsaidproceedswiththeBondTrusteetobeappliedinthe manner set forth in the Bond Indenture. Sectionl3.Securities Laws. TheAuthoritydoesherebyauthorizeitsMembers,officialsandofficerstotakeor causetobetakenallactiondeemednecessaryoradvisableinordertocomplywiththe requirements of thesecuritiesor"BlueSky"laws of anyjurisdictioninconnectionwith the offering andsale of theBonds. Section 14.Bond Validation. PursuanttoSection75.05(3),Chapter75,FloridaStatutes,asamended,the Authority hereby elects not to validate the issuance of the Bonds. Section 15.Further Acts. TheChairpersonorViceChairpersonandany of the Designated Membersshall signall necessary documents on behalf of the Authority to comply withthe requirements Page11 of 13 of the Bond Indenture andtheBond Purchase Agreement andshall fornish the Borrowers andthe Underwriters withsuchfortherassurancesastheymayreasonablyrequire of the Authority in connection withtheissuanceandsale of theBonds. Section 16.Ratification of Acts. All of thethingsanddoings of theMembers,officials,officers,agentsand employees of the Authority whichareinconformity with theintentand purposes of this Resolution,whether heretofore or hereafter taken or done,shallbeandarehereby ratified,confirmedandapproved. Section17.Severability. If anysection,paragraph,clauseorprovision of thisResolutionshallbeheldtobe invalidorineffectiveforanyreason,thereminder of this Resolution shall continue in foil forceandeffect,itbeingexpresslyherebyfoundanddeclaredthattheremainder of this Resolutionwouldhavebeenadopteddespitetheinvalidityorineffectiveness of such section,paragraph,clauseorprovision. Section 18.Effective Date. ThisResolutionshalltakeeffectimmediatelyuponitsadoption,andany provisions of any previous resolutions in conflict withthe provisions herein are hereby superseded. Page12 of 13 ADOPTED this7thday of October,1998. ATTEST:n CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY HAIRPERSONCTTYCLERK//CH READ AND APPROVED AS TO FORM:AUTHORITY VOTE:4-0 j^^*^^Chair Valentine:Yea ^v /£=><Sx£-tf*f^Vice Chair Acker:Yea CITY ATTORNEY Member Young:Yea Member HutsonClavijo:Yea Page13 of 13 RESOLUTION NO.HFA 1-02-1 A RESOLUTION OF THE CITY OFSOUTH MIAMI HEALTH FACILITIES AUTHORITY (THE "AUTHORITY"),(i)AUTHORIZING THE EXECUTION AND DELIVERY OF AN INTERLOCALAGREEMENT;(ii)AUTHORIZING THEISSUANCEANDSALE BY THE AUTHORITY OFITS CITY OFSOUTHMIAMI HEALTH FACILITIES AUTHORITY HOSPITAL REVENUE BONDS(BAPTISTHEALTHSOUTHFLORIDAOBLIGATED GROUP)(THE "BONDS")IN AN AGGREGATE PRINCIPAL AMOUNT NOTTO EXCEED $150,000,000,EXCLUDING ORIGINAL ISSUE DISCOUNT AND ORIGINAL ISSUE PREMIUM,TO PROVIDE FUNDSTO(1)PAY OR REIMBURSE BAPTIST HEALTH SOUTH FLORIDA INC.(THE "PARENT"),BAPTIST HOSPITAL OF MIAMI,INC. ("BAPTIST HOSPITAL"),SOUTH MIAMI HOSPITAL,INC.("SOUTH MIAMI")AND HOMESTEAD HOSPITAL,INC.("HOMESTEAD"AND,TOGETHER WITH THE PARENT, BAPTIST HOSPITAL AND SOUTH MIAMI,THE "BORROWERS"),EACH A FLORIDA NOTFOR PROFIT,NONSTOCK MEMBERSHIP CORPORATION,FOR THE PAYMENT OF,ORTO REFINANCE CERTAIN PRIORDEBTTHEPROCEEDSOF WHICH WERE USED TOPAY,COSTS OF ACQUIRING,CONSTRUCTING,RENOVATING, REHABILITATING AND EQUIPPING CERTAIN HEALTHCARE FACILITIES,(2)FUND A DEBT SERVICE RESERVE FUNDFORTHE BENEFIT OFTHE BONDS IFSUCHFUND IS DEEMED NECESSARY OR DESIRABLE BY THE PARENT AND THE AUTHORITY, (3)PROVIDE FOR THE PAYMENT OF INTEREST ONA PORTION OFTHE BONDS IF DEEMED NECESSARY OR DESIRABLE BY THE PARENT AND THE AUTHORITY AND (4)PAY CERTAIN COSTS INCURREDIN CONNECTION WITH THE ISSUANCE OFTHE BONDS;(iii)AUTHORIZING THE EXECUTION AND DELIVERY OFA BOND PURCHASE AGREEMENT FOR THE SALE OF THE BONDS;(iv)AUTHORIZING THE EXECUTION AND DELIVERY OFA BOND TRUST INDENTURE SECURING THE BONDS;(v)AUTHORIZING THE EXECUTION AND DELIVERY OFA LOAN AGREEMENT PROVIDING FORTHE LOAN OF THE PROCEEDSOFTHE BONDS TO THE BORROWERS;(vi)APPROVINGTHE MASTER TRUST INDENTURE OFTHE BORROWERS;(vii)AUTHORIZING THE EXECUTION AND DELIVERY OFA TAX EXEMPTION AGREEMENT WITH RESPECT TO THE BONDS;(vii)AUTHORIZING THE DISTRIBUTION OFA PRELIMINARY OFFICIAL STATEMENT AND THE EXECUTION AND DELIVERY OF AN OFFICIAL STATEMENT IN CONNECTION WITH THE ISSUANCE OF THEBONDS;(be)PROVIDING THATTHEBONDSSHALLNOT CONSTITUTE A DEBT,LIABILITYOR OBLIGATION OF THE CITY OF SOUTH MIAMI, FLORIDA OROFTHE STATE OFFLORIDAOROF ANY POLITICAL SUBDIVISION OR AGENCY THEREOF,BUT SHALL BE PAYABLE SOLELY FROMTHE REVENUES PROVIDED THEREFOR,AND THAT NEITHER THE FAITH AND CREDIT NOR ANY TAXINGPOWEROFTHECITY OF SOUTH MIAMI,FLORIDAOR OF THESTATE OF FLORIDA OR OF ANY POLITICAL SUBDIVISION OR AGENCY THEREOF IS PLEDGED TOTHE PAYMENT OFTHE PRINCIPAL OF,PREMIUM,IFANY,ORINTERESTON THEBONDS;(x)PROVIDING FOR OTHER RELATEDMATTERS;(xi)ANDPROVIDING AN EFFECTIVE DATE. WHEREAS,theCityof South Miami Health Facilities Authority (the "Authority")was created pursuant tothe Health Facilities Authorities Law,Part HI of Chapter 154 ofthe Florida CHl-1322646v3 Statutes,asamended(the "Act"),upona determination ofaneedfortheAuthoritybytheSouth MiamiCityCommissionunderSection 54.207(1)of theAct;and WHEREAS,pursuant toCity of South MiamiOrdinanceNo.11-95-1584 (the "Ordinance"),Chapter154,Part IH and Chapter 159,PartII,FloridaStatutes,theAuthorityis vested with the power toauthorizethe issuance andsale of bonds,andto take such other actions identifiedinthetitle of thisresolution,forthepurpose of assistinghealthfacilitiesinthe acquisition,construction,financing andrefinancing of projects;and, WHEREAS,theAuthorityis authorized toissuerevenue bonds and loan the proceeds thereof toa"health facility,"as defined intheOrdinance,forthepurposes of financingthe"cost" of a"project,"assuchtermsaredefinedintheOrdinance,andrefundingoutstandingobligations issuedby or on behalf of ahealthfacilityto provide fondsforthecost of aproject;and WHEREAS,BaptistHealthSouthFlorida,Inc.(the"Parent"),BaptistHospital of Miami, Inc.("Baptist Hospital"),SouthMiamiHospital,Inc.("SouthMiami")and Homestead Hospital, Inc.("Homestead"and,together withtheParent,BaptistHospitaland South Miami,the "Borrowers"),eachaFloridanotforprofit,nonstockmembershipcorporation,haverequested thatthe Authority assistthe Borrowers inobtainingfondstobeusedto(i)payorreimbursethe Borrowers forthepaymentof,ortorefinancecertainpriorindebtednessthe proceeds of which wereusedtopay,costsof acquiring,constructing,renovating,rehabilitating andequipping certainhealthfacilities(the"Project"),(ii)fondadebtservicereservefondforthebenefit of the Bondsifsuchfondis deemed necessary or desirable bytheParentandthe Authority,(iii) provide forthe payment of interest onaportionoftheBondsif deemed necessary or desirable by theParentandtheAuthorityand(iv)paycertaincostsincurredinconnectionwiththe issuance of the Bonds;and WHEREAS,inordertoobtainfondsforsuchpurposes,theAuthoritydesirestoauthorize the issuance andsaleofnotto exceed $150,000,000 in aggregate principal amount,excluding any original issue discount and original issue premium,ofitsCity of SouthMiamiHealth Facilities Authority Hospital Revenue Bonds (Baptist Health South Florida Obligated Group) (the "Bonds")andthe loan ofthe proceeds from the sale oftheBondstothe Borrowers,all under andpursuanttotheBondTrustIndentureandtheLoanAgreementhereinafterreferredto;and WHEREAS,other than the portion of theProjecttobeusedbySouth Miami,the Project isor will belocatedoutsideofthe boundaries oftheCity of South Miami,Floridabut within the boundaries ofMiami-DadeCounty,Florida;and WHEREAS,the Authority isa"public agency"as defined inSection163.01,Florida Statutes,as amended,which is titled the "Florida Interlocal Cooperation Act of 1969"(the "Interlocal Act")andassuch "public agency"is authorized toenterinto interlocal agreements pursuanttothe Interlocal Act,forthejointexerciseofpowerswhichitsharesincommonwith otherpublic agencies and which such public agencies might exercise separately;and WHEREAS,inorderto accomplish economies of scaleandothercost savings,andto reducethecostsof providing health care services inthe areas served bythe Borrowers,the AuthoritydesirestoassisttheBorrowersbyissuingtheBonds;and Page 2 of9 CHI-1322646v3 WHEREAS,the Authority has been requested to enter into an interlocal agreement with Miami-Dade County,Florida,a "public agency"under the Interlocal Act,to provide for the issuance by the Authority of its Bonds for the benefit of the Borrowers (other than South Miami); and WHEREAS,the Authority forther desires to authorize the sale of the Bonds by a negotiated sale to Merrill Lynch,Pierce,Fenner &Smith Incorporated (the "Underwriter"),since the Parent has requested such sale to the Underwriter and since it appears to the Authority,for the reasons hereinafter set forth,that a negotiated sale of the Bonds rather than a public sale by competitive bidisinthebest interests of the Authority and the Borrowers;and, WHEREAS,authorizing the issuance and sale ofthe Bonds,as provided for in this Resolution,furthers thepurpose of the Ordinance. NOW,THEREFORE,BeIt Resolved by the City of South Miami Health Facilities Authority asfollows: Section JL Findings.TheAuthority hereby finds and determines that: (1)The Borrowers are each a "health facility"within the meaning of Section 2(f)ofthe Ordinance. (2)Pursuant to Section 4 ofthe Ordinance,the Authority is authorized and empoweredtoenterintotheLoanAgreement hereinafter referred to. (3)Pursuant to Section 218.385 of the Florida Statutes,as amended,the sale ofthe Bonds tothe Underwriter on the basis ofa negotiated sale rather than a public sale by competitive bid is in the best interests ofthe Authority and the Borrowers;and the Authority hereby forther finds and determines that the following reasons necessitate such sale ofthe Bonds tothe Underwriter through a negotiated sale: (a)Bonds issued by public bodies for the benefit of not-for-profit hospital corporations ("Hospital Bonds")generally involve specialized situations and transactions which need,detailed analysis,structuring and explanation throughout the course of the issueby sophisticated financial advisors,underwriters,investment bankers and similar parties,such as the Underwriter,experienced in the structuring of issues of Hospital Bonds (hereinafter referred to collectively as "Health-care Underwriters"and individually asa "Health-care Underwriter"),much of which would not generally be available ona timely basis from the ultimate underwriter of Hospital Bonds issued pursuant toa public competitive sale. (b)Hospital Bond issues generally involve a rather detailed and often complicated explanation to potential investors of the structure of the issue,the nature of the underlying hospital corporation and the impact upon each of the foregoing of federal and state health care regulations,including Medicare and Medicaid practices and procedures,and the assistance ofa Health-care Underwriter in preparing necessary offering'memoranda,official statements and related information is desirable from the standpoint of the hospital corporation involved in the issue and from the standpoint of the Page3 of9 CM-1322646v3 publicbodyissuingtheHospitalBondsininsuring foil andaccuratedisclosure of all relevant information. (c)For theforegoingandrelatedreasons,most of theHospitalBonds heretoforeissuedthroughoutthe United Stateshaveinvolvedparticipationthroughoutthe structuringandofferingprocessof Health-care Underwriterswhohave purchased or arrangedforthepurchase of theHospitalBondsthroughanegotiatedsaleratherthan throughapublicsalebycompetitivebid;accordingly,themarketmaywellbemore receptive toanissue of Hospital Bonds soldona negotiated basisthantoonesoldby competitive public sale. (d)Consequently,thepresenceoftheUnderwriterthroughoutthestructuring of the Bonds isdesirableinattemptingtoobtainthe most attractive financingforthe Authorityandthe Borrowers. Section2.Authorization of ExecutionandDelivery of InterlocalAgreement. The Authority does herebyauthorizeand approve the execution bythe Chair orVice Chair of theAuthorityandthedelivery of anInterlocalAgreementbetweentheAuthorityand Miami-DadeCounty,Florida(the"InterlocalAgreement").TheInterlocalAgreementshallbein substantially theformattachedhereto and marked Exhibit Eandishereby approved,withsuch changesthereinasshallbeapprovedbytheChairorViceChairexecutingthesame,withsuch execution toconstitute conclusive evidence of such officer's approval andthe Authority's approval of anychangesthereinfromtheformofInterlocalAgreementattachedhereto. Section 3.Authorization of Bonds. Thereishereby authorized the issuance ofnottoexceed$150,000,000in aggregate principal amount of theCityofSouth Miami Health Facilities Authority Hospital Revenue Bonds (Baptist HealthSouthFlorida Obligated Group)(the "Bonds"")of theAuthorityandthe Authority shall paycertainrelated expenses,including fiscal,legalandother incidental costsand chargesandthe fonding of adebt service reserve fond,ifdeemed necessary,andinorderto accomplishthesame.Theprincipal of theBondsandthepremium,ifany,andinterestthereon shall notbe deemed toconstitutea debt,liability or obligation of theCity of South Miami, Floridaor of theState of Floridaor of any political subdivisionoragencythereof,but shall be payable solely fromtherevenues provided therefor,andneitherthefaithandcreditnorany taxingpower of theCity of South Miami,Florida or of theStateofFloridaor of any political subdivision thereofispledgedtothe payment ofthe principal of,premium,if any,or interest on the Bonds. The Bonds shall: (i)beissuedinan aggregate principal amount,excluding any original issue discount andoriginalissue premium,not exceeding $150,000,000; (ii)beissuedin folly registered form insuch denominations asprovidedinthe executed BondTrust Indenture (hereinafter referred to); ;Page 4 of9 CHM322646v3 (iii)bear interest at rates not exceeding 6.50%; (iv)matureno later than 32 years from the date of issuance; (v)bedatedas provided intheexecutedBondTrust Indenture;and (vi)be issued no later than 90 days afterthe date ofthis Resolution. The exact principal amount of the Bonds,the interest rates thereon and the final maturity dates thereof shall be fixed,within the foregoing limits,and the optional and mandatory redemption provisions thereof shall be fixed as provided intheBondTrust Indenture hereinafter referred to and as approved bythe Chair or Vice Chair of the Authority executing the same,with such execution to constitute conclusive evidence of such officer's approval and the Authority's approval ofthe final terms ofthe Bonds. The Bonds shall be executed on behalf of the Authority bythe manual or facsimile signature of its Chair orVice Chair and shall have impressed or printed by facsimile thereon the corporate seal of theAuthority attested with the manual or facsimile signature of a Member of the Authority designated for such purpose as provided in Section 4 hereof. InotherrespectstheBonds shall beinthe forms,shall bearinterest,shall beexecutedand authenticated,shall be subject to redemption and shall be delivered as provided inthe Bond Trust Indenture. Section 4,Authorization of Sale:Authorization of Execution andDelivery of Bond Purchase Agreement. The Authority does hereby authorize the sale of the Bonds to the Underwriter;provided, however,thattheBonds shall be sold withtermswithinthelimitssetforthinSection2hereof and that the total compensation paid to the Underwriter,including any underwriting discount, shall not exceed an amount equal to 0.75%of the aggregate principal amount of the Bonds, excluding original issue discount and original issue premium.The Authority does hereby authorize and approve the execution and delivery on behalf of the Authority by its Chair or Vice Chair of the Bond Purchase Agreement to be dated the date of the sale of Bonds (the "Bond Purchase Agreement")among the Authority,the Parent and the Underwriter.TheBond Purchase Agreement shall bein substantially the form attached heretoandmarked Exhibit Aand is hereby approved,with such changes therein as shall be approved bythe Chair or Vice Chair executing thesame,with suchexecutiontoconstituteconclusiveevidence of suchofficer's approval and the Authority's approval of any changes therein from the form of Bond Purchase Agreement attached hereto. The award of the sale of the Bonds to the Underwriter is expressly conditioned upon the receipt bythe Authority ofa disclosure statement of the Underwriter prepared in accordance with Section 218.385 of the Florida Statutes,as amended,which receipt shall be evidenced by the Authority's execution and delivery of the Bond Purchase Agreement.The Bond Purchase Agreement shall also contain a "Truth-in-Bonding Statement"in conformance withthe requirements of Section 218.385 of the Florida Statutes,as amended. i Page 5 of 9 CHl-1322646v3 Section 5.Designation ofAttestingMember. Mario J.Artecona or,in the case of such Member's absence or inability to act Ron Robison,all Members of the Authority (the "Designated Members"),are hereby designated and authorized on behalf of the Authority to attest to the seal of the Authority and to the signature of the Chair or Vice Chair ofthe Authority as they appear on the Bonds,the Bond Trust Indenture the Loan Agreement,the Interlocal Agreement and the Tax Exemption Agreement,each as hereinafter referred to,and any other documents which may be necessary or helpful in connection with the issuance and delivery of the Bonds and in connection with the application of the proceeds thereof. Section 6,Authorization of Execution and Delivery of Bond Trust Indenture. The Authority does hereby authorize and approve the execution by the Chair or Vice Chair and any of the Designated Members of the Authority and the delivery ofa Bond Trust Indenture (the "Bond Indenture")between the Authority and Wachovia Bank,National Association,as bond trustee (the "Bond Trustee"),providing for the issuance thereunder ofthe Bonds and setting forth the terms and provisions applicable to the Bonds,including a description ofthe underlying security for the Bonds and expressing the contract between the Authority and the holders thereof.The Bond Indenture shall be in substantially the form attached hereto and marked Exhibit B and is hereby approved,with such changes therein as shall be approved by the Chair or Vice Chair executing the same,with such execution to constitute conclusive evidence of such officer's approval and the Authority's approval of any changes therein from the form of Bond Indenture attached hereto. Section 7.Authorization ofExecutionandDelivery of LoanAgreement The Authority does hereby authorize and approve the execution by the Chair or Vice Chair andany of the Designated Members of the Authority and the delivery ofa Loan Agreement (the "Loan Agreement")between the Authority and the Borrowers,providing for the loan of the proceeds of the Bonds to the Borrowers.The Loan Agreement shall be in substantially the form attached hereto and marked Exhibit C and is hereby approved,with such changes therein as shall be approved by the Chair or Vice Chair executing the same,'with such execution to constitute conclusive evidence of such officer's approval and the Authority's approval of any changes therein from the form of Loan Agreement attached hereto. Section SI Approval of Sixth Supplemental Master Trust Indenture andthe Obligation. The loan of Bond proceeds to the Borrowers will be evidenced by the Direct Note Obligation (the "Obligation")of the Parent payable to the Bond Trustee in a principal amount equal to the aggregate principal amount of the Bonds,which Obligation will be issued tinder the Sixth Supplemental Master Trust Indenture (the "Sixth Supplemental Master Indenture")among the Borrowers,Keys Hospital Foundation,Inc.and Wachovia Bank,National Association,as successor mastertrustee(the "Master Trustee"),which supplements and amends theMasterTrust Indenture dated as of March 1,1993,as previously supplemented and amended (the "Original Master Indenture"and,together with the Sixth Supplemental Master Indenture,the "Master j Page 6 of9 CHI-1322646v3 Indenture"),among the Borrowers,Keys Hospital Foundation,Inc.andthe Master Trustee.The AuthorityherebyapprovestheexecutionbytheBorrowers,KeysHospital Foundation,Inc.and the Master Trustee of the Master Indenture(includingtheform of the Obligation assetforth therein),whichshallbein substantially theformsattachedheretoandmarkedExhibitDandare herebyapproved,withsuchchangesthereinasshallapprovedbytheChair or ViceChair executing the Loan Agreement,withsuch execution of theLoan Agreement to constitute conclusiveevidence of suchofficer'sapprovalandthe Authority's approval of anychanges therein from the form of Master Indenture attached hereto. Section 9.Authorization of Execution andDelivery of Tax Exemption Agreement. The Authority doesherebyauthorizeandapprovetheexecutionbytheChairorVice Chair of the Authority andthedelivery of aTaxExemptionAgreementtobe dated thedate of the issuance anddelivery of the Bonds (the"TaxExemptionAgreement")among the Authority, the Bond Trustee andthe Borrowers establishingaRebateFundthereunderin order toprovide forcertainpaymentstotheUnitedStatesasrequiredby applicable TreasuryRegulations.The Tax Exemption Agreement shallbeinsuchformasisapprovedbythe Chair or ViceChair executing the same,with such execution to constitute conclusive evidence of suchofficer's approvalandthe Authority's approval oftheformofTax Exemption Agreement. Section 10.Authorization of Preliminary Official Statement and Official Statement. TheAuthorityherebyauthorizestheuseand distribution bythe Underwriter of a Preliminary Official Statement of theAuthorityandtheBorrowers(the "Preliminary Official Statement"),in substantially the form thereof attached hereto and marked Exhibit F>in connectionwiththeofferingofthe Bonds.TheChairorViceChair of theAuthorityis hereby authorizedand empowered,forandonbehalf of the Authority,toexecuteanddelivera final Official Statement of the Authority andtheBorrowers relating totheBondsin substantially the form of the Preliminary Official Statement,butwithsuch changes therein asmaybe necessary to reflectthesale of theBondsonthe terms hereby authorized andwithsuchforther changes thereinastheChairorViceChair shall deem necessary or desirable as conclusively evidenced by such officer's execution thereof. Section 11.Authentication and Delivery of Bonds. UpontheexecutionoftheBondsinaccordancewiththeprovisions of theBond Indenture,theChairorViceChair of theAuthority shall deposit thesamewiththeBondTrustee forauthenticationanddeliveryto or upontheinstructions oftheUnderwriter.TheBondTrustee isherebyrequestedtoauthenticateand deliver theBondsinaccordancewiththeBondIndenture. TheChair or ViceChair shall receiveandreceiptfortheproceeds of thesale of theBondsan behalf of theAuthorityand shall deposit said proceedswiththeBondTrusteetobe applied inthe manner set forth in the Bond Indenture. Section 12.Securities Laws. The Authority does hereby authorize its Members,officialsand officers to take or cause tobetakenallactiondeemednecessaryoradvisableinordertocomplywiththerequirements of Page 7 of9 CHI-1322646v3 ! the securities or "Blue Sky"laws of any jurisdiction in connection with the offering and sale of the Bonds. Section 13.Bond Validation. PursuanttoSection75.05(3),Chapter.75,Florida Statutes,as amended,the Authority hereby elects not to validate the issuance of the Bonds. Section 14.Further Acts. The Chair or Vice Chair and any ofthe Designated Members shall sign all necessary documents onbehalfofthe Authority to comply with the requirements oftheBond Indenture and the Bond Purchase Agreement andshallfornishthe Borrowers andthe Underwriter with such.forther assurances astheymay reasonably require oftheAuthorityin connection withthe issuance and sale of the Bonds. Section 15.Ratification of Acts. All ofthe things and doings ofthe Members,officials,officers,agents and employees of theAuthoritywhichareinconformitywiththe intent andpurposes of thisResolution,whether heretoforeorhereaftertakenordone,shall beandare hereby ratified,confirmed and approved. Section 16.Severability. If anysection,paragraph,clauseorprovision of this Resolution shallbeheldtobeinvalid orineffectiveforanyreason,theremainder of thisResolutionshall continue in foil forceand effect,itbeingexpresslyherebyfoundanddeclaredthattheremainder of thisResolutionwould have been adopted despite the invalidity or ineffectiveness of such section,paragraph,clause or provision. Section 17.Effective Date. This Resolution shall take effect immediately upon its adoption,andany provisions of any previous resolutions in conflict with the provisions herein are hereby superseded. Page 8 of9 CHI-1322646v3 PASSED AND ADOPTED this 18th day of November,2002. ATTEST:APPROVED: V^CHAJRPERSOl C READ AND APPROVED AS TO FORM: BOARD VOTE:3-O Chair Barbara Acker:/Ve-f pre**"* Vice Chair Dianne Wright:\f**~ Member Ron Robison:i**- Member Mario J.Artecona:y**-• AUTHORITY ATTORNEY CHM322646v3 Page 9 of9 HFA 1 RESOLUTION NO.1-07-2 2A RESOLUTION OF THE CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY 3 (THE "AUTHORITY")(I)AUTHORIZING THE EXECUTION AND DELIVERY OF ONE 4 OR MORE BOND PURCHASE AGREEMENTS FOR THE SALE OF THE CITY OF SOUTH 5 MIAMI HEALTH FACILITIES AUTHORITY HOSPITAL REVENUE BONDS (BAPTIST 6 HEALTH SOUTH FLORIDA OBLIGATED GROUP)(THE "SERIES 2007 BONDS")TO BE 7 ISSUED BY THE AUTHORITY TO PROVIDE FUNDS TO(1)PAY OR REIMBURSE 8 BAPTIST HEALTH SOUTH FLORIDA,INC.(THE "PARENT"),BAPTIST HOSPITAL OF 9MIAMI,INC.("BAPTIST HOSPITAL"),DOCTOR'S HOSPITAL,INC.("DOCTOR'S"), 10 HOMESTEAD HOSPITAL,INC.("HOMESTEAD"),MARINER'S HOSPITAL,INC. 11 ("MARINER'S"),SOUTH MIAMI HOSPITAL,INC.("SOUTH MIAMI")AND WEST 12 KENDALL BAPTIST HOSPITAL,INC.("WEST KENDALL"AND,TOGETHER WITH THE 13 PARENT,BAPTIST HOSPITAL,DOCTOR'S,HOMESTEAD,MARINER'S AND SOUTH 14MIAMI,THE "BORROWERS"),EACHAFLORIDANOTFORPROFIT,NONSTOCK 15 MEMBERSHIP CORPORATION,FOR THE PAYMENT OF,OR REFUND CERTAIN 16 PRIOR DEBT OBLIGATIONS THE PROCEEDS OF WHICH WERE USED TO PAY,OR TO 17 REFUND OTHER PRIOR DEBT OBLIGATIONS THE PROCEEDS OF WHICH WERE 18USEDTOPAY,COSTSOFACQUIRING,CONSTRUCTING,RENOVATING, 19 REHABILITATING,FURNISHING AND EQUIPPING CERTAIN HEALTHCARE 20FACILITIES,(2)REFUNDCERTAINPRIORBONDSOFTHEAUTHORITY,THEDADE 21 COUNTY HEALTH FACILITIES AUTHORITY AND THE CITY OF CORAL GABLES 22 HEALTH FACILITIES AUTHORITY ISSUED FOR THE BENEFIT OF SOME OR ALL OF 23 THE BORROWERS OR REFUND CERTAIN PRIOR DEBT OBLIGATIONS OF SOME OR 24 ALL OF THE BORROWERS INCURRED IN CONNECTION WITH SOME OR ALL OF THE 25PRIORBONDS,(3)FUNDADEBTSERVICERESERVEFUNDFORTHEBENEFITOF 26 THE SERIES 2007 BONDS IF SUCH FUND IS DEEMED NECESSARY OR DESIRABLE 27BYTHE PARENT ANDTHEAUTHORITY,(4)PROVIDE FOR THE PAYMENT OF 28 INTEREST ON A PORTION OF THE SERIES 2007 BONDS IF DEEMED NECESSARY OR 29 DESIRABLE BY THE PARENT ANDTHE AUTHORITY AND(5)PAY CERTAIN COSTS 30 INCURRED IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2007 BONDS AND 31SUCH REFUNDINGS;(II)AUTHORIZING THE DISTRIBUTION OFA PRELIMINARY 32 OFFICIAL STATEMENT OR STATEMENTS IN CONNECTION WITH THE ISSUANCE OF 33THESERIES2007BONDS;(III)AUTHORIZINGTHEEXECUTIONANDDELIVERYOF 34 SEPARATE INTERLOCAL AGREEMENTS WITH THE MIAMI-DADE COUNTY HEALTH 35 FACILITIES AUTHORITY OR MIAMI-DADE COUNTY,FLORIDA,AND MONROE 36 COUNTY,FLORIDA REGARDING THESERIES2007 BONDS;(IV)AUTHORIZING 37 COUNSEL FOR THE AUTHORITY TO CONDUCT,ON BEHALF OF THE AUTHORITY, 38THEPUBLICHEARINGREQUIREDBYSECTION 147(F)OFTHEINTERNALREVENUE 39CODEOF1986,ASAMENDED,FORTHEISSUANCEOFTHESERIES2007BONDS, 40ANDTO PUBLISH ALL NOTICES RELATINGTHERETO;(V)RECOMMENDING TO 41 THE MAYOR OF THE CITY OF SOUTH MIAMI,FLORIDA THAT THE MAYOR 42 APPROVE THE ISSUANCE OF THE SERIES 2007 BONDS FOR PURPOSES OF SECTION 43 147(f)OFTHE INTERNAL REVENUE CODE OF 1986,AS AMENDED;(VI) 44 AUTHORIZING THE CHAIR OR VICE CHAIR OF THE AUTHORITY OR COUNSEL TO 45THE AUTHORITY TO IDENTIFY ONTHEBOOKSANDRECORDSOFTHE CHl-1573616v4 HFA 1-07-2 1 AUTHORITY AN INTEREST RATE LOCK AGREEMENT OR AGREEMENTS RELATING 2TO THE SERIES 2007 BONDS;(VII)PROVIDING FOR OTHER RELATED MATTERS; 3 AND (VIII)PROVIDING AN EFFECTIVE DATE. 4 WHEREAS,theCity of SouthMiamiHealth Facilities Authority (the "Authority")was 5 created pursuant tothe Health Facilities AuthoritiesLaw,PartIII of Chapter 154 of the Florida 6Statutes,as amended (the "Act"),upona determination of aneedfortheAuthoritybytheSouth 7 Miami City Commission under Section 154.207(1)of theAct;and 8 WHEREAS,pursuant toCity of South Miami Ordinance No.11-95-1584 (the 9 "Ordinance"),Chapter 154,PartIIIandChapter159,PartII,Florida Statutes,the Authority is 10 vested with the power to authorize theissuanceandsale of bonds,andtotakesuchother actions 11 identified inthetitle of this resolution,forthe purpose of assisting health facilities inthe 12 acquisition,construction,renovating,rehabilitating,furnishings,equipping,financing and 13 refinancing of projects;and, 14 WHEREAS,the Authority is authorized toissue revenue bonds andloanthe proceeds 15 thereof toa "health facility,"asdefinedintheOrdinance,forthe purposes of financingthe "cost" 16 of a "project,"assuch terms are defined inthe Ordinance,and refunding its bonds,bonds issued 17 under Chapter 159,PartII,Florida Statutesand outstanding obligations issued byoron behalf of 18 a health facilityto provide fundsforthecost of a project;and 19 WHEREAS,BaptistHealthSouthFlorida,Inc.(the "Parent"),BaptistHospital of Miami, 20Inc.("Baptist Hospital"),Doctor's Hospital,Inc.("Doctor's"),HomesteadHospital,Inc. 21 ("Homestead"),Mariner's Hospital,Inc.("Mariner's"),South Miami Hospital,Inc.("South 22 Miami"),andWestKendall Baptist Hospital,Inc.("West Kendall"and,together withthe Parent, 23 Baptist Hospital,Doctor's,Homestead,Mariner's and South Miami,the "Borrowers"),eacha 24Floridanotforprofit,nonstock membershipcorporation,have requested thattheAuthorityissue 25its bonds inoneor more series (the "Series 2007 Bonds")in order to assist the Borrowers in 26 obtaining fundstobeusedto(i)payorreimbursethe Borrowers forthe payment of,or refund 27certain prior debtobligationstheproceeds of whichwereusedtopay,orrefundotherpriordebt 28obligationstheproceeds of whichwereusedtopay,costs of acquiring,constructing,renovating, 29 rehabilitating andequippingcertainhealthfacilities(the "Project");(ii)refundalloraportion of 30the outstanding portion of (a)theDadeCountyHealth Facilities Authority's $116,400,000 31 Hospital Revenue Refunding Bonds,Series 1993A (Baptist Hospital of MiamiProject)(the 32"Series1993ABonds");(b)theIssuer's$69,985,000HospitalRevenueRefundingBonds,Series 331995 (Baptist Health Systems Obligated Group)(the "Series 1995 Bonds");(c)the Issuer's 34$104,205,000HospitalRevenueBonds,Series1998(BaptistHealthSystemsObligatedGroup) 35(the "Series 1998 Bonds");(d)the Issuer's $150,000,000 Hospital Revenue Bonds,Series2003 36(Baptist Health South Florida ObligatedGroup)(the"Series2003 Bonds");(e)theCity of Coral 37GablesHealth Facilities Authority's $149,920,000HospitalRevenueBonds,Series2004 38 (Baptist Health SouthFloridaObligatedGroup)(the"Series2004Bonds,"andtogetherwiththe 39 Series 1993A Bonds,the Series 1995 Bonds,the Series 1998 Bonds and the Series 2003 Bonds, 40the"PriorBonds")and(f)theBorrowers'outstandingobligationsincurredinconnectionwith 41 someorall of thePriorBonds;(iii)fundadebtservicereservefundforthebenefit of theSeries 422007Bonds if suchfundisdeemednecessaryordesirablebytheParentandtheAuthority;(iv) 43provideforthepayment of interestonaportionoftheSeries2007Bonds if deemednecessaryor Page 2 of8 CHl-1573616v4 Res.No,IFA 1-07-2 1desirablebytheParentandthe Authority;(v)paycertaincostsincurredinconnectionwiththe 2issuance of theSeries2007Bondsandsuch refiindings (collectively,the "Financing Purposes"); 3 and 4WHEREAS,theBorrowersmayrequestthattheAuthorityenterintooneormoreBond 5PurchaseAgreementsforthesaleoftheSeries2007Bonds(each,a"BondPurchase 6Agreement")withtheBorrowersandMerrillLynch,Pierce,Fenner&SmithIncorporated(the 7 "Purchaser");and 8WHEREAS,aPreliminaryOfficialStatementorStatementsmaybeusedanddistributed 9 in connection with the sale of the Series 2007 Bonds;and 10 WHEREAS,in connection withtheissuance of theSeries2007Bonds,itwillbe 11 necessaryforthe Authority toconductadulynoticedpublichearing pursuant tothe requirements 12ofSection147(f)of theInternalRevenueCode of 1986,asamended(the"Code"),forthe 13 purposeofgivingallinterestedpersonsan opportunity toexpresstheirviews,eitherorallyorin 14writing,ontheproposedissuance of theSeries2007Bonds;and 15 WHEREAS,theAuthoritydesiresto recommend theissuanceoftheSeries2007Bonds 16for approval totheMayoroftheCityof South Miami,Floridafor purposes of Section 147(f)of 17 the Code;and R~18 WHEREAS,aportionofthe Financing Purposes involveprojectsand facilities whichare 19 orwillbelocated outside of theboundaries of theCity of SouthMiami,Floridabutwithinthe 20 boundaries of Miami-Dade County,Florida orMonroeCounty,Florida;and 21WHEREAS,theAuthorityisa"publicagency"asdefinedinSection 163.01,Florida 22Statutes,as amended,which istitledthe "Florida Interlocal Cooperation Act of 1969"(the 23"InterlocalAct")and,assuch,the"publicagency"isauthorizedtoenterintointerlocal 24agreementspursuanttotheInterlocalAct,forthejointexerciseofpowerswhichitsharesin 25commonwithotherpublicagenciesandwhichsuchpublicagenciesmightexerciseseparately; 26 and 27WHEREAS,theAuthorityhasbeenrequestedtoenterintoseparateinterlocalagreements 28withtheMiami-DadeCountyHealthFacilitiesAuthorityorMiami-DadeCounty,Florida,and 29MonroeCounty,Florida,eacha"publicagency"undertheInterlocalAct,toprovideforthe 30issuancebytheAuthority of itsSeries2007BondsforthebenefitoftheBorrowers; 31 WHEREAS,theBorrowersmayrequestthattheAuthorityidentifyonitsbooksand 32recordsaninterestratelockagreementoragreementsrelatingtoalloraportionoftheSeries 33 2007 Bonds;and 34WHEREAS,inordertoaccomplisheconomiesofscaleandothercostsavings,andto 35reducethecostsofprovidinghealthcareservicesintheareasservedbytheBorrowers,the 36 Authority desires toassistthe Borrowers by issuing theSeries2007Bondsandwill therefore 37 begin the proceedings necessary to enable itto issue the Series 2007 Bonds to provide funds for 38 the Financing Purposes;and Page3 of 8 CHM573616v4 Res.No.HFA 1-07-2 1 NOW,THEREFORE,BeIt Resolved bythe City of South Miami Health Facilities 2 Authority as follows: 3 Section L Findings.The Authority hereby findsand determines that: 4 (1)The Borrowers areeacha "health facility"within the meaning of Section 52(f)of the Ordinance. 6 (2)TheAuthoritydeemsitpropertodelegatetoeitheritsChairorViceChair 7the power to execute anddeliver,inthenameof,for,andon behalf of,the Authority,oneor 8 more Bond Purchase Agreements among the Authority,the Borrowers andthe Purchaser,insuch 9form,and containing such provisions,asthe individual executing the Bond Purchase Agreements 10inthe name of,forandon behalf of,the Authority shalldetermine,subject tothe specific 11 limitations hereinafter set forth. 12 (3)The Authority deemsitproperto delegate toitscounselthe authority to 13 hold,onits behalf,the public hearingrequiredby Section 147(f)of theCodeandto publish any 14 and all notices related thereto. 15 (4)The Authority deemsit proper to delegate toeitherits Chair orVice Chair 16 the power to approve the distribution of,inthenameof,for,andon behalf of,the Authority,a 17 Preliminary Official Statement or Statements,in such form,and containing such provisions,as 18 such Chair or Vice Chair shall determine. 19 (5)TheAuthoritydeemsitpropertodelegatetoeitheritsChairorViceChair 20orits counsel the power totakeallsuchactionsasare necessary to identify onthe books and 21 records of the Authority any interest ratelock agreement or agreements relating tosomeorall of 22 the Series 2007 Bonds. 23 (6)The Authority deemsit proper to delegate to either itsChairorVice Chair 24the power to execute and deliver,inthe name of,for,andon behalf of,the Authority,an 25 Interlocal Agreement between the Authority andthe Miami-Dade County Health Facilities 26 Authority or Miami-Dade County andanInterlocal Agreement between the Authority and 27 Monroe County,Florida,each in such form,and containing such provisions,asthe individual 28 executing the Interlocal Agreements inthenameof,forandon behalf of,the Authority shall 29 determine. 30 Section 2.Approval of Negotiated Sale.Pursuant to Section 218.385 of the Florida 31 Statutes,as amended,the sale of the Bonds to the Purchaser on the basis of a negotiated sale 32ratherthanapublicsalebycompetitivebidisinthebestinterests of theAuthorityandthe 33 Borrowers;and the Authority hereby further findsand determines that the following reasons 34 necessitate such sale of the Series 2007 Bonds tothe Purchaser through a negotiated sale: 35 (1)Bondsissuedbypublicbodiesforthebenefit of not-for-profit hospital 36corporations("HospitalBonds")generallyinvolvespecializedsituationsandtransactionswhich 37needdetailedanalysis,structuringandexplanationthroughoutthecourse of theissueby 38 sophisticated financial advisors,underwriters,investment bankers andsimilarparties,suchasthe 39 Purchaser,experienced inthe structuring ofissuesof Hospital Bonds (hereinafter referred to Page4 of 8 CHI-1573616v4 Res.No.HFA 1-07-2 1collectivelyas"Health-careUnderwriters"andindividuallyasa "Health-care Underwriter"), 2much of whichwouldnotgenerallybeavailableonatimelybasisfromtheultimateunderwriter 3 of Hospital Bonds issued pursuant toa publiccompetitive sale. 4 (2)HospitalBondissuesgenerallyinvolvearatherdetailedandoften 5complicatedexplanationtopotentialinvestorsofthestructureoftheissue,thenature of the 6underlyinghospitalcorporationandtheimpactuponeachoftheforegoingof federal andstate 7healthcareregulations,includingMedicareandMedicaidpracticesandprocedures,andthe 8assistance of aHealth-careUnderwriterinpreparingnecessaryofferingmemoranda,official 9statementsandrelatedinformationisdesirablefromthestandpoint of thehospitalcorporation 10involvedintheissueandfromthestandpoint of thepublicbodyissuingtheHospitalBondsin 11 insuringfullandaccuratedisclosure of allrelevantinformation. 12 (3)Fortheforegoingandrelatedreasons,most of theHospitalBonds 13heretoforeissuedthroughouttheUnitedStateshaveinvolvedparticipationthroughoutthe 14 structuring and offering process of Health-care Underwriters whohave purchased or arranged for 15 the purchase ofthe Hospital Bonds through a negotiated saleratherthanthroughapublicsaleby 16 competitive bid;accordingly,the market maywellbe more receptive toan issue of Hospital 17 Bondssoldonanegotiatedbasisthantoonesoldbycompetitivepublicsale. 18 (4)Consequently,the presence ofthe Purchaser throughout the structuring of 19 theSeries2007Bondsisdesirableinattemptingtoobtainthemostattractivefinancingforthe 20 Authority and the Borrowers. 21 Section 3.Authorization of Execution and Delivery of One or More Bond Purchase 22 Agreements. 23The Authority doeshereby authorize and approve theexecutionand delivery,inthename 24of,for,andonbehalfof,the Authority byeitheritsChairorViceChair,ofoneormoreBond 25 Purchase Agreements among the Authority,the Borrowers andthe Purchaser,or,withthe 26 approval ofthe Parent,such other or additional underwriter or underwriters as shall be 27 determined bythe individual executing the Bond Purchase Agreements inthe name of,for,and 28onbehalfof,the Authority,providing forthe issuance andsaleoftheSeries2007Bondsinan 29 aggregate principal amount notto exceed $800,000,000,plus any original issue discount and 30 excluding any original issue premium,upon such terms and conditions asthe individual 31 executing the Bond Purchase Agreements inthe name of,for,andonbehalf of,the Authority 32shall determine,including,butnot limited to,such interest ratesand purchase pricesassuch 33 individual shall determine;provided,however,thatanySeries2007Bondsbearinginterestat 34fixedratesshallbearinterestatstatedratesnotexceeding5.5%perannumandanySeries2007 35Bondsbearinginterestatvariableratesshallbearinterest initially atratesnot exceeding 5%per 36annumandthatundertheBondPurchase Agreements theaggregatepurchaseprice of theSeries 372007 Bonds,excluding any original issue discount,shallnotbelessthan98%ofthe aggregate 38 principal amount thereof,plus accrued interest,if any,thereon;and provided further that the total 39 compensation paid for the services of the Purchaser,including any underwriting discount but not 40 including any fees paidtothe Purchaser under any interest rate lock agreement or agreements, 41 shall not exceed an amount equal to 2.00%of the aggregate face amount ofthe Series 2007 42 Bonds.The determinations hereunder bythe individual executing theBond Purchase Page5 of 8 CHI-1573616v4 Res.No.HFA 1-07-2 1 Agreements inthe name of,for,andon behalf of,the Authority shallbe conclusively evidenced 2by such person's execution and delivery of theBondPurchase Agreements.When theBond 3 Purchase Agreements are executed and delivered on behalf of the Authority as hereinabove 4provided,suchBondPurchaseAgreementsshallbebindingupontheAuthority;providedthat 5the Series 2007 Bonds shallnotbe issued untilthe Authority has approved the issuance of the 6 Series 2007 Bonds. 7Theaward of thesale of theSeries2007Bondstothe Purchaser is expressly conditioned 8uponthe receipt bythe Authority of adisclosure statement of the Purchaser prepared in 9 accordance with Section 218.385 of the Florida Statutes,as amended,which receipt shallbe 10 evidenced by the Authority's execution and delivery of the Bond Purchase Agreements.The 11 Bond Purchase Agreements shallalso contain a "Truth-in-Bonding Statement"in conformance 12 with the requirements of Section 218.385 of the Florida Statutes,as amended. 13 Section 4.Authorization of Execution and Delivery of Interlocal Agreements. 14 TheAuthoritydoesherebyauthorizeandapprovetheexecutionbytheChairorVice 15 Chair of the Authority andthedelivery of anInterlocal Agreement between theAuthorityand 16theMiami-DadeCountyHealthFacilitiesAuthorityorMiami-DadeCounty,Floridaandan 17Interlocal Agreement between theAuthorityandMonroeCounty,Florida.TheInterlocal 18 Agreements shalleachbein substantially theformsattached hereto and marked Exhibit Aand 19eachis hereby approved,with such changes therein asshallbe approved bytheChairorVice 20 Chair executing the same,with such execution to constitute conclusive evidence of such officer's 21 approvalandthe Authority's approval of anychangesthereinfromtheformofInterlocal 22 Agreements attached hereto. 23 Section 5.Authorization of Preliminary Official Statement. 24The Authority hereby authorizes theuseand distribution bythe Purchaser of a 25 Preliminary Official Statement or Statements of the Authority andthe Borrowers (eacha 26 "Preliminary Official Statement"),insuchform,andcontainingsuch provisions,asis acceptable 27totheChairorViceChair of theAuthority,inconnectionwiththe offering of theSeries2007 28 Bonds. 29 Section 6.Public Hearing. 30TheAuthority hereby authorizesthe Authority's counsel,Luis Figueredo,oranyother 31 lawyer inhis law firm(the "Authority's Counsel")tohold,on behalf of the Authority,the public 32 hearing required by Section 147(f)of theCodeforthe purpose of givingall interested persons an 33 opportunity to express their views,either orally orinwriting,onthe proposed issuance of the 34Series2007Bonds,atsuchtimeandplaceandinsuchmannerashedeemsappropriate.The 35 Authority also hereby authorizes the Authority's Counsel,to publish any notices requiredto 36 published in connection withsuch public hearing. Page 6 of 8 CHM573616v4 Res.No.HFA 1-07-2 1Section7.Recommendation of Approval of Issuance of BondsforPurposes of 2 Section 147(f)of the Code. 3 Following theduly noticed publichearing described in Section 6 above,the Authority 4 hereby recommends the issuance of the Series 2007 Bonds inan aggregate principal amount not 5toexceed $800,000,000 plusanyoriginalissuediscountand excluding anyoriginalissue 6premiumforapprovaltotheMayor of theCity of SouthMiami,Floridaforpurposes of said 7 Section 147(f)of the Code. 8 Section 8.Identification of Interest Rate Lock Agreements. 9The Authority herebyauthorizesitsChairorViceChairorthe Authority's Counselto 10 takeallsuchactionsnecessarytoidentifyonthebooksandrecords of theAuthorityanyinterest 11 rate lock agreement or agreements relating totheSeries2007Bonds. 12 Section 9.Designation of Attesting Member. 13 or,inthecaseofsuchMember'sabsenceorinabilitytoact, 14 (together,the "Designated Members"),arehereby designated and 15 authorizedonbehalfoftheAuthoritytoattesttothesealoftheAuthorityandtothesignature of 16 theChairorViceChairoftheAuthorityastheyappearontheBondPurchaseAgreementsand 17Interlocal Agreements,andanyother documents whichmaybenecessaryorhelpfulin 18 connectionwiththeissuanceanddeliveryoftheSeries2007Bondsandinconnectionwiththe 19 application of theproceedsthereof. 20 Section 10.Ratification of Acts. 21 All ofthethingsanddoingsofthe Members,officials,officers,agentsand employees of 22theAuthoritywhichareinconformitywiththeintentandpurposes of thisResolution,whether 23heretoforeor hereafter takenordone,shallbeandareherebyratified,confirmed andapproved. 24 Section 11.Severability. 25Ifanysection,paragraph,clauseor provision ofthisResolutionshallbeheldtobeinvalid 26orineffectiveforanyreason,theremainderofthisResolutionshallcontinueinfullforceand 27effect,itbeing expressly hereby found and declared thatthe remainder ofthis Resolution would 28havebeenadopteddespitethe invalidity or ineffectiveness ofsuchsection,paragraph,clauseor 29 provision. 30 Section 12.Effective Date. 31 ThisResolutionshalltakeeffectimmediatelyuponitsadoption,andanyprovisions of 32anypreviousresolutionsinconflictwiththe provisions hereinarehereby superseded. Page 7 of8 CHI-1573616v4 Res.No.HFA 1-07-2 2 3 PASSED AND ADOPTED this22nddayof Februaryr200 ATTEST:ABTOW thorttycleW READ AND APPROVED AS TO FORM: BOARD VOTE: Chair Arfcesona: Vice Chair Acker: Member Capo: Member Manp: Member Garcia:AUTHORITY COUN Page 8 of8 CHI-1573616v4 4-0 Yea Yea Yea Yea absent 1 RESOLUTION NO.HFA 2-07"3 2A RESOLUTION OF THE CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY 3 (THE "AUTHORITY"),(I)AUTHORIZING THE ISSUANCE AND SALE BY THE 4 AUTHORITY OF ITS CITY OF SOUTH MIAMI HEALTH FACILITIES AUTHORITY 5 HOSPITAL REVENUE BONDS (BAPTIST HEALTH SOUTH FLORIDA OBLIGATED 6 GROUP)(THE "SERIES 2007 BONDS")INAN AGGREGATE PRINCIPAL AMOUNT NOT 7TO EXCEED $800,000,000,EXCLUDING ORIGINAL ISSUE DISCOUNT AND ORIGINAL 8 ISSUE PREMIUM,TO PROVIDE FUNDS TO (1)PAY OR REIMBURSE BAPTIST 9 HEALTH SOUTH FLORIDA,INC.("BHSF"),BAPTIST HOSPITAL OF MIAMI,INC. 10 ("BAPTIST HOSPITAL"),BAPTIST OUTPATIENT SERVICES,INC.("BOS"),DOCTORS 11 HOSPITAL,INC.("DOCTORS HOSPITAL"),HOMESTEAD HOSPITAL,INC. 12 ("HOMESTEAD HOSPITAL"),MARINERSHOSPITAL,INC.("MARINERS HOSPITAL"), 13 SOUTH MIAMI HOSPITAL,INC.("SOUTH MIAMI HOSPITAL")AND WEST KENDALL 14 BAPTIST HOSPITAL,INC.("WEST KENDALL HOSPITAL"AND,TOGETHER WITH 15 BHSF,BAPTIST HOSPITAL,BOS,DOCTORS HOSPITAL,HOMESTEAD HOSPITAL, 16 MARINERS HOSPITAL AND SOUTH MIAMI HOSPITAL,THE "BORROWERS"),EACH 17A FLORIDA NOT FOR PROFIT,NONSTOCK MEMBERSHIP CORPORATION,FOR THE 18 PAYMENT OF,OR TO REFUND PRIOR DEBT OBLIGATIONS THE PROCEEDS OF 19 WHICH WERE USED TO PAY,COSTS OF ACQUIRING,CONSTRUCTING, 20 RENOVATING,REHABILITATING,FURNISHING AND EQUIPPING CERTAIN 21 HEALTHCARE FACILITIES,(2)REFUNDCERTAIN PRIOR BONDS OFTHE 22 AUTHORITY,THEDADECOUNTYHEALTHFACILITIES AUTHORITY ANDTHECITY 23 OF CORAL GABLES HEALTH FACILITIES AUTHORITY ISSUED FOR THE BENEFIT OF 24 SOME OR ALL OF THE BORROWERS OR REFUND CERTAIN PRIOR DEBT 25 OBLIGATIONS OF SOME OR ALL OF THE BORROWERS INCURRED IN CONNECTION 26 WITH SOME ORALLOFTHE PRIOR BONDS,(3)FUNDA DEBT SERVICE RESERVE 27 FUND FOR THE BENEFIT OF THE SERIES 2007 BONDS IF SUCH FUND IS DEEMED 28 NECESSARY OR DESIRABLE BY BHSF AND THE AUTHORITY,(4)PROVIDE FOR THE 29 PAYMENT OF INTEREST ON A PORTION OF THE SERIES 2007 BONDS IF DEEMED 30 NECESSARY OR DESIRABLE BY BHSF AND THE AUTHORITY AND (5)PAY CERTAIN 31 COSTS INCURRED IN CONNECTION WITH THE ISSUANCE OF THE SERIES 2007 32BONDSANDSUCH REFUNDINGS;(II)AUTHORIZING THE EXECUTION AND 33 DELIVERY OF ONE OR MORE BOND PURCHASE AGREEMENTS FOR THE SALE OF 34THESERIES2007BONDS;(III)AUTHORIZING THEEXECUTIONAND DELIVERY OF 35 SEPARATE INTERLOCAL AGREEMENTS WITH THE MIAMI-DADE COUNTY HEALTH 36 FACILITIES AUTHORITY,MIAMI-DADE COUNTY,FLORIDA AND MONROE 37 COUNTY,FLORIDA REGARDING THE SERIES 2007 BONDS;(IV)AUTHORIZING THE 38 EXECUTION AND DELIVERY OF A BOND TRUST INDENTURE SECURING THE 39 SERIES 2007 BONDS;(V)AUTHORIZING THE EXECUTION AND DELIVERY OFA 40 LOAN AGREEMENT PROVIDING FOR THE LOAN OF THE PROCEEDS OF THE SERIES 41 2007 BONDS TO THE BORROWERS;(VI)APPROVING THE MASTER TRUST 42 INDENTURE OF THE BORROWERS;(VII)AUTHORIZING THE EXECUTION AND 43 DELIVERY OF A TAX EXEMPTION AGREEMENT WITH RESPECT TO THE SERIES 44 2007 BONDS;(VIII)RATIFYING THE DISTRIBUTION OF A PRELIMINARY OFFICIAL 45 STATEMENT AND AUTHORIZING THE EXECUTION,DELIVERY AND DISTRIBUTION CHI-1580142v5 Res.No.HFA 2-07-3 1 OF AN OFFICIAL STATEMENT IN CONNECTION WITH THE ISSUANCE OF THE 2 SERIES 2007 BONDS;(LX)PROVIDING THAT THE SERIES 2007 BONDS SHALL NOT 3 CONSTITUTE A DEBT,LIABILITY OR OBLIGATION OF THE CITY OF SOUTH MIAMI, 4 FLORIDA,THE MIAMI-DADE COUNTY HEALTH FACILITIES AUTHORITY,MIAMI- 5 DADE COUNTY,FLORIDA,MONROE COUNTY,FLORIDA,OR THE STATE OF 6 FLORIDA OR OF ANY POLITICAL SUBDIVISION OR AGENCY THEREOF,BUT SHALL 7 BE PAYABLE SOLELY FROM THE REVENUES PROVIDED THEREFOR,AND THAT 8 NEITHER THE FAITH AND CREDIT NOR ANY TAXING POWER OF THE CITY OF 9 SOUTH MIAMI,FLORIDA,THE AUTHORITY,THE MIAMI-DADE COUNTY HEALTH 10 FACILITIES AUTHORITY,MIAMI-DADE COUNTY,FLORIDA,MONROE COUNTY, 11 FLORIDA,OR THE STATE OF FLORIDA OR OF ANY POLITICAL SUBDIVISION OR 12 AGENCY THEREOF IS PLEDGED TO THE PAYMENT OF THE PRINCIPAL OF, 13 PREMRJM,IFANY,OR INTEREST ONTHESERIES2007 BONDS;(X)PROVIDING FOR 14 OTHER RELATED MATTERS;AND (XI)PROVIDING AN EFFECTIVE DATE. 15 WHEREAS,the City of South Miami Health Facilities Authority (the "Authority")was 16 created pursuant tothe Health Facilities Authorities Law,PartIII of Chapter 154 of the Florida 17 Statutes,as amended (the "Act"),upona determination of a need forthe Authority bytheSouth 18 Miami City Commission under Section 154.207(1)of theAct;and 19 WHEREAS,pursuant toCity of SouthMiami Ordinance No.11-95-1584 (the 20 "Ordinance"),Chapter154,PartIIIandChapter 159,PartII,FloridaStatutes,theAuthorityis 21 vested with the power to authorize the issuance andsale of bonds,andtotake such other actions 22 identified inthetitle of thisResolution,forthepurpose of assistinghealthfacilitiesinthe 23acquisition,construction,renovating,rehabilitating,furnishing,equipping,financingand 24 refinancing of projects;and, 25 WHEREAS,the Authority isauthorizedtoissuerevenuebondsandloantheproceeds 26 thereof toa "health facility,"asdefinedintheOrdinance,forthepurposes of financingthe "cost" 27 of a "project,"assuchtermsaredefinedintheOrdinance,andrefundingitsbonds,bondsissued 28under Chapter 159,PartII,Florida Statutesand outstanding obligationsoradvancesissued,made 29orgivenbyoron behalf of ahealthfacilitytoprovidefundsforthecost of aproject;and 30 WHEREAS,Baptist Health South Florida,Inc.("BHSF"),Baptist Hospital of Miami, 31Inc.("Baptist Hospital"),Baptist Outpatient Services,Inc.("BOS"),Doctors Hospital,Inc. 32 ("Doctors Hospital"),Homestead Hospital,Inc.("Homestead Hospital"),Mariners Hospital,Inc. 33 ("Mariners Hospital"),SouthMiamiHospital,Inc.("SouthMiami Hospital")and West Kendall 34 Baptist Hospital,Inc.("West KendallHospital"and,together withBHSF,Baptist Hospital,BOS, 35 Doctors Hospital,Homestead Hospital,MarinersHospitalandSouthMiamiHospital,the 36 "Borrowers"),eacha Florida notforprofit,nonstockmembership corporation,have requested 37 that the Authority issueits bonds inoneormore series in order to assist the Borrowers in 38 obtaining fundstobe used to(i)payor reimburse the Borrowers forthe payment of,orrefund 39 certain prior debt obligations the proceeds of whichwereusedtopay,costs of acquiring, 40constructing,renovating,rehabilitatingandequippingcertainhealthfacilities(the "Project");(ii) 41 refund allora portion of the outstanding portion of (a)theDade County Health Facilities 42 Authority's $116,400,000 HospitalRevenueRefundingBonds,Series 1993A (Baptist Hospital 43 of MiamiProject)(the "Series 1993A Bonds");(b)the Issuer's $69,985,000 HospitalRevenue Page 2 of 11 CHI-1580142v5 Res.No.HFA 2-07-3 1RefundingBonds,Series1995(BaptistHealthSystemsObligatedGroup)(the"Series 1995 2 Bonds");(c)the Issuer's $104,205,000HospitalRevenueBonds,Series1998(BaptistHealth 3SystemsObligatedGroup)(the"Series1998Bonds");(d)the Issuer's $150,000,000 Hospital 4RevenueBonds,Series2003(BaptistHealthSouthFloridaObligatedGroup)(the"Series2003 5Bonds");(e)theCity of CoralGablesHealthFacilitiesAuthority's$149,920,000Hospital 6RevenueBonds,Series2004(BaptistHealthSouthFloridaObligatedGroup)(the"Series2004 7Bonds,"andtogetherwiththeSeries 1993A Bonds,theSeries1995Bonds,theSeries1998 8 Bonds andtheSeries2003 Bonds,the "Prior Bonds")and(f)the Borrowers'outstanding 9obligationsincurredinconnectionwithsomeorallofthePriorBonds;(iii)ftmd adebtservice 10 reserve fundforthe benefit of the Series 2007 Bonds (as hereinafter defined)if such fundis 11 deemednecessaryordesirablebyBHSFandthe Authority;(iv)provideforthepaymentof 12 interestonaportionoftheSeries2007BondsifdeemednecessaryordesirablebyBHSFandthe 13 Authority;and(v)paycertaincostsincurredinconnectionwiththeissuance of theSeries2007 14Bondsandsuch reflmdings (collectively,the "Financing Purposes");and 15 WHEREAS,inordertoobtainfundsforsuchFinancingPurposes,theAuthoritydesires 16to authorize the issuance andsale of notto exceed $800,000,000 in aggregate principal amount, 17 excluding any original issue discount and original issue premium,ofitsCityof South Miami 18HealthFacilitiesAuthorityHospital Revenue Bonds(BaptistHealthSouthFlorida Obligated 19 Group)(the"Series2007 Bonds")andtheloanofthe proceeds fromthesaleofthe Series 2007 20BondstotheBorrowers,allunderandpursuanttotheBondIndentureandtheLoanAgreement 21 hereinafter referred to;and 22 WHEREAS,a portion ofthe Financing Purposes involve projects and facilities which are 23orwillbelocatedoutsideoftheboundariesoftheCity of SouthMiami,Floridabutwithinthe 24boundaries of Miami-DadeCounty,FloridaorMonroeCounty,Florida;and 25 WHEREAS,theAuthorityisa"public agency"asdefinedinSection 163.01,Florida 26 Statutes,as amended,whichistitledthe"Florida Interlocal Cooperation Actof 1969"(the 27 "Interlocal Act")and,underthe Interlocal Act,a"public agency"is authorized toenterinto 28 interlocal agreements pursuant tothe Interlocal Act,forthejoint exercise of powers which it 29sharesincommonwithotherpublic agencies andwhichsuchpublicagenciesmight exercise 30 separately;and 31 WHEREAS,theAuthorityhasbeen requested toenterintoseparateinterlocal agreements 32withthe Miami-Dade CountyHealth Facilities Authority,Miami-Dade County,Floridaand 33 Monroe County,Florida,each a "public agency"under the Interlocal Act,to provide forthe 34 issuance bythe Authority ofits Series 2007 Bonds forthebenefitofthe Borrowers;and 35 WHEREAS,theAuthorityfurtherdesiresto authorize thesaleoftheSeries2007Bonds 36bya negotiated saleto Merrill Lynch,Pierce,Fenner &Smith Incorporated (the "Underwriter"), 37since BHSF has requested suchsaletothe Underwriter and since it appears tothe Authority,for 38the reasons hereinafter setforth,thata negotiated sale of the Series 2007 Bonds rather thana 39 public saleby competitive bidisinthebest interests ofthe Authority andthe Borrowers;and Page3 of 11 CHM580142v5 Res.No.HFA 2-07-3 1WHEREAS,theBorrowersmayrequestthattheAuthorityenterintooneormoreBond 2 Purchase Agreements forthesale of theSeries2007Bonds(each,a "Bond Purchase 3 Agreement")withtheBorrowersandtheUnderwriter;and 4 WHEREAS,a Preliminary OfficialStatementhasbeenusedand distributed in 5 connection with the sale of the Series 2007 Bonds and an Official Statement or Statements will 6 be used and distributed in connection with the sale of the Series 2007 Bonds;and 7WHEREAS,authorizingtheissuanceandsale of theSeries2007Bonds,asprovidedfor 8inthis Resolution,furthersthe purpose of theOrdinance. 9 NOW,THEREFORE,BeItResolvedbytheCity of SouthMiamiHealthFacilities 10 Authority as follows: 11 Section1.Findings.The Authority herebyfindsand determines that: 12 (1)TheBorrowersareeacha"healthfacility"withinthemeaning of Section 13 2(f)of the Ordinance. 14 (2)Pursuant toSection4 of the Ordinance,the Authority is authorized and 15 empowered toenterintotheLoan Agreement hereinafter referred to. 16 (3)The Authority deemsitpropertoratifythe prior useand distribution of a 17 Preliminary Official Statement andtodelegateto either itsChairorViceChairthe power to 18 approvetheexecutionanddeliveryof,inthenameof,for,andon behalf of,theAuthority,an 19 OfficialStatement,insuchform,andcontainingsuchprovisions,assuchChairorViceChair 20 shall determine. 21 (4)The Authority deemsit proper to delegate to either its Chair orVice Chair 22the power to execute and deliver,inthenameof,for,andon behalf of,the Authority,an 23 Interlocal Agreement between the Authority andthe Miami-Dade County Health Facilities 24 Authority,an Interlocal Agreement between the Authority and Miami-Dade County,Florida,and 25an Interlocal Agreement betweentheAuthorityandMonroeCounty,Florida,eachinsuchform, 26and containing such provisions,astheindividualexecutingtheInterlocal Agreements inthe 27 name of,forandon behalf of,the Authority shall determine. 28 (5)The Authority deemsit proper to delegate to either its Chair orVice Chair 29the power to execute and deliver,inthenameof,for,andon behalf of,the Authority,theLoan 30 Agreement,BondIndentureandTaxExemptionAgreement hereinafter referred to,eachinsuch 31 form,andcontainingsuchprovisions,astheindividualexecutingeachsuchdocumentinthe 32nameof,forandon behalf of,the Authority shalldetermine. 33 (6)TheAuthoritydeemsitpropertodelegatetoeitheritsChairorViceChair 34the power toapprove,inthenameof,for,andon behalf of,theAuthority,theMasterIndenture 35andObligationhereinafterreferredto,eachinsuchform,andcontainingsuchprovisions,asthe 36 individual executing theLoan Agreement inthenameof,forandon behalf of,the Authority 37 shall determine. Page 4 of 11 CHM580142v5 Res.No.HFA 2-07-3 1 (7)The Authority deemsitpropertodelegatetoeitheritsChairorViceChair 2thepowertoexecuteanddeliver,inthenameof,for,andon behalf of,theAuthority,oneor 3moreBond Purchase Agreements amongtheAuthority,the Borrowers andthe Underwriter,each 4insuchform,andcontainingsuchprovisions,astheindividualexecutingeachsuchdocumentin 5 the name of,for and on behalf of,the Authority shall determine. 6Section2.Approval of NegotiatedSale.PursuanttoSection218.385oftheFlorida 7 Statutes,as amended,thesale of theSeries2007 Bonds tothe Underwriter onthe basis of a 8negotiatedsaleratherthanapublicsaleby competitive bidisinthebestinterestsofthe 9AuthorityandtheBorrowers;andtheAuthorityherebyfurtherfindsanddeterminesthatthe 10followingreasonsnecessitatesuchsaleoftheSeries2007BondstotheUnderwriterthrougha 11 negotiated sale: 12 (1)Bondsissuedbypublicbodiesforthebenefit of not-for-profithospital 13 corporations ("Hospital Bonds")generally involve specialized situations and transactions which 14needdetailedanalysis,structuringandexplanationthroughoutthecourseoftheissueby 15 sophisticated financial advisors,underwriters,investment bankers and similar parties,suchasthe 16 Underwriter,experienced inthe structuring of issues of Hospital Bonds (hereinafter referred to 17 collectively as "Health-care Underwriters"and individually asa "Health-care Underwriter"), 18 muchofwhichwouldnotgenerallybe available onatimelybasisfromtheultimate underwriter 19 ofHospitalBondsissuedpursuanttoapublic competitive sale. 20 (2)Hospital Bond issues generally involve a rather detailed and often 21 complicated explanation to potential investors of the structure ofthe issue,the nature ofthe 22 underlying hospital corporation andthe impact upon eachofthe foregoing of federal and state 23 health care regulations,including Medicare and Medicaid practices and procedures,andthe 24 assistance ofaHealth-care Underwriter in preparing necessary offering memoranda,official 25statementsandrelatedinformation is desirablefromthestandpoint of thehospitalcorporation 26involvedintheissueandfromthe standpoint ofthepublicbodyissuingtheHospitalBondsin 27insuringfullandaccuratedisclosureofallrelevant information. 28 (3)Forthe foregoing and related reasons,mostofthe Hospital Bonds 29 heretofore issued throughout the United States have involved participation throughout the 30 structuring and offering process of Health-care Underwriters who have purchased or arranged for 31 the purchase ofthe Hospital Bonds through a negotiated sale rather than through a public sale by 32 competitive bid;accordingly,the market may well be more receptive toan issue of Hospital 33Bondssoldonanegotiatedbasisthantoonesoldby competitive publicsale. 34 (4)Consequently,the presence ofthe Underwriter throughout the structuring 35 of theSeries2007Bondsisdesirablein attempting toobtainthemostattractivefinancingforthe 36 Authority andthe Borrowers. 37 Section 3.Authorization of Execution and Delivery of One or More Bond Purchase 38 Agreements. 39TheAuthoritydoesherebyauthorizeandapprovetheexecutionanddelivery,inthename 40of,for,andon behalf of,theAuthoritybyeitheritsChairorViceChair,of oneormoreBond Page5 of 11 CHI-1580142v5 Res.No.HFA 2-07-3 1PurchaseAgreementsamongtheAuthority,theBorrowersandtheUnderwriter,or,withthe 2approval of BHSF,suchotheroradditionalunderwriterorunderwritersasshallbedetermined 3bytheindividual executing theBondPurchaseAgreementsinthenameof,for,andon behalf of, 4the Authority,providing fortheissuanceandsale of the Series 2007 Bonds inan aggregate 5principalamountnottoexceed$800,000,000,excludinganyoriginalissuediscountandany 6originalissue premium,uponsuchtermsandconditionsastheindividualexecutingtheBond 7 Purchase Agreements inthenameof,for,andon behalf of,the Authority shall determine, 8including,butnot limited to,suchinterestratesand purchase pricesassuchindividualshall 9 determine;provided,however,thatundertheBond Purchase Agreements the aggregate purchase 10 price of theSeries2007Bonds,excludinganyoriginalissuediscount,shallnotbelessthan98% 11 of theaggregate principal amountthereof,plusaccruedinterest,if any,thereon;andprovided 12furtherthatthetotal compensation paidforthe services of the Underwriter,including any 13 underwriting discount but not including anyfees paid tothe Underwriter under any interest rate 14lock agreement or agreements,shallnotexceedanamountequalto2.00%of the aggregate face 15 amount of the Series 2007Bonds.The determinations hereunder bythe individual executing the 16 Bond Purchase Agreements inthe name of,for,andon behalf of,the Authority shall be 17 conclusively evidenced bysuch person's execution and delivery of theBond Purchase 18 Agreements.When the Bond Purchase Agreements are executed and delivered on behalf of the 19 Authority as hereinabove provided,suchBond Purchase Agreements shallbe binding upon the 20 Authority. 21The award of thesale of theSeries2007 Bonds tothe Underwriter is expressly 22 conditioned upon the receipt bythe Authority of a disclosure statement of the Underwriter 23 prepared in accordance withSection 218.385 of the Florida Statutes,asamended,whichreceipt 24shallbeevidencedbythe Authority's executionanddelivery of theBondPurchaseAgreements. 25The Bond Purchase Agreements shallalso contain a "Truth-in-Bonding Statement"in 26 conformance withthe requirements of Section 218.385 of the Florida Statutes,as amended. 27 Section 4±Authorization of Execution and Delivery of Interlocal Agreements. 28The Authority doesherebyauthorizeandapprovethe execution bytheChairorVice 29Chair of the Authority andthedelivery of anInterlocal Agreement betweentheAuthorityand 30 Miami-Dade County,Florida,anInterlocalAgreementbetweenthe Authority andthe Miami- 31 Dade County Health Facilities Authority andan Interlocal Agreement between the Authority and 32 Monroe County,Florida (the "Interlocal Agreements").The Interlocal Agreements shallbein 33 substantially theforms attached heretoandmarkedExhibitAandeachisherebyapproved,with 34such changes therein asshallbeapprovedbytheChairorVice Chair executing the same,with 35such execution to constitute conclusive evidence of such officer's approval andthe Authority's 36 approval of any changes therein fromtheforms of Interlocal Agreements attached hereto. 37 Section 5.Authorization of Series 2007 Bonds. 38Thereis hereby authorized theissuance of notto exceed $800,000,000 in aggregate 39principalamount,excluding anyoriginalissuediscountandanyoriginalissue premium,of the 40Series2007 Bonds andthe Authority shallpay certain related expenses,including fiscal,legal 41and other incidental costsandchargesandthefunding of a debt service reserve fund,if deemed 42 necessary,in order to accomplish thesame.The principal of the Series 2007 Bonds andthe Page6of 11 CHM580142V5 Res.No.HFA 2-07-3 1premium,ifany,andinterestthereonshallnotbedeemedtoconstituteadebt,liabilityor 2obligationoftheCity of SouthMiami,Florida,theMiami-DadeCountyHealthFacilities 3Authority,Miami-DadeCounty,Florida,MonroeCounty,FloridaortheStateofFloridaor of 4anypoliticalsubdivisionoragencythereof,butshallbepayablesolelyfromtherevenues 5provided therefor,andneitherthefaithandcreditnoranytaxingpoweroftheCityofSouth 6Miami,Florida,theAuthority,theMiami-DadeCountyHealthFacilitiesAuthority,Miami-Dade 7County,Florida,MonroeCounty,FloridaortheStateofFloridaorofanypoliticalsubdivision 8thereofispledgedtothepaymentoftheprincipalof,premium,ifany,orinterestontheSeries 9 2007 Bonds. 10 The Series 2007 Bonds shall: 11 (i)beissuedinan aggregate principalamount,excludinganyoriginalissue 12discountandoriginalissuepremium,notexceeding$800,000,000; 13 (ii)be issued infullyregisteredforminsuchdenominationsasprovidedinthe 14 executed Bond Indenture (hereinafter referred to); 15 (iii)bearinterestatstatedfixedinterestratesnotexceeding5.5%; 16 (iv)maturenolaterthan40yearsfromtheirdateofissuance; 17 (v)bedatedasprovidedintheexecutedBondIndenture;and 18 (vi)beissuednolaterthan90daysafterthedateofthis Resolution. 19Theexactprincipalamountofthe Series 2007Bonds,thenumberand respective amounts 20 of seriesorsubseriesthereof,theinterestratesthereon,anymandatorysinkingfundredemption 21 datesandamountsandthefinalmaturitydatesthereofshallbefixed,withintheforegoinglimits, 22andthe optional and mandatory redemption provisions thereof shall be fixed as provided inthe 23BondIndenturehereinafterreferredtoandasapprovedbytheChairorViceChair of the 24 Authority executing the same,with such execution to constitute conclusive evidence of such 25officer's approval andthe Authority's approval ofthe final terms ofthe Series 2007 Bonds. 26The Series 2007 Bonds shallbe executed on behalf of the Authority bythe manual or 27 facsimile signature ofitsChairorVice Chair andshallhave impressed or printed by facsimile 28 thereon the corporate sealofthe Authority attested withthe manual or facsimile signature ofa 29MemberoftheAuthoritydesignatedforsuchpurposeasprovidedinSection4hereof. 30InotherrespectstheSeries2007 Bonds shallbeinthe forms,shallbear interest,shallbe 31 executedandauthenticated,shallbesubjecttoredemptionandshallbedeliveredasprovidedin 32 the Bond Indenture. 33 Section 6.Designation of Attesting Member. 34ZacharyMann,or,inthecase of such Member's absenceorinabilitytoact,HectorCapo, 35bothMembers of theAuthority(together,the "Designated Members"),areherebydesignatedand 36authorizedon behalf of theAuthoritytoattesttotheseal of theAuthorityandtothesignature of Page 7 of 11 CHM580142v5 Res.No.HFA 2-07-3 1theChairorViceChair of the Authority astheyappearontheSeries2007Bonds,theBond 2 Indenture,the Loan Agreement,the Interlocal Agreements,theBond Purchase Agreements,and 3theTaxExemptionAgreement,eachaspreviouslyor hereinafter referredto,andanyother 4 documents whichmaybe necessary orhelpfulinconnectionwiththeissuanceanddelivery of 5theSeries2007Bondsandinconnectionwiththeapplication of theproceedsthereof. 6 Section 7.Authorization of Execution and Delivery of Bond Indenture. 7The Authority does hereby authorize andapprovethe execution bythe Chair orVice 8 Chair andany of the Designated Members of the Authority andthedelivery of aBond Trust 9 Indenture (the "Bond Indenture")betweentheAuthorityandWellsFargoBank,N.A.,asbond 10 trustee (the "Bond Trustee"),providing fortheissuance thereunder of theSeries2007 Bonds and 11 settingforththetermsand provisions applicabletotheSeries2007Bonds,including a 12 description of the underlying security fortheSeries2007Bondsand expressing the contract 13 between the Authority and the holders thereof.TheBond Indenture shallbein substantially the 14form attached hereto andmarked Exhibit B,andtheBond Indenture ishereby approved,with 15 such changes therein asshallbe approved bytheChairorViceChair executing thesame,with 16such execution to constitute conclusive evidence of such officer's approvalandthe Authority's 17 approval of any changes therein fromtheform of Bond Indenture attached hereto. 18 Section 8.Authorization of Execution and Delivery of Loan Agreement. 19 TheAuthoritydoes hereby authorizeandapprovetheexecutionbytheChairorVice 20Chairandany of the Designated Members of theAuthorityandthedelivery of aLoan 21 Agreement (the "Loan Agreement")betweentheAuthorityandtheBorrowers,providing forthe 22loan of theproceeds of theSeries2007BondstotheBorrowers.TheLoan Agreement shallbe 23in substantially theformattachedheretoandmarkedExhibitC,andtheLoan Agreement is 24herebyapproved,withsuchchangesthereinasshallbeapprovedbytheChairorViceChair 25 executing the same,with such execution to constitute conclusive evidence of such officer's 26 approval andthe Authority's approval of anychanges therein fromtheform of Loan Agreement 27 attached hereto. 28 Section 9.Approval of Master TrustIndentureandtheObligation. 29Theloan of Series2007BondproceedstotheBorrowerswillbe evidenced bythe Direct 30NoteObligation(the "Obligation")of BHSFpayabletotheBondTrusteeinaprincipalamount 31equaltothe aggregate principal amount of theSeries2007Bonds,which Obligation willbe 32 issued under the Master Trust Indenture datedas of May 1,2007(the "Master Indenture")among 33 the Borrowers and Wells FargoBank,N.A.,as master trustee (the "Master Trustee").The 34 Authority hereby approves the execution bythe Borrowers andthe Master Trustee of the Master 35 Indenture (including theform of the Obligation assetforththerein),whichshallbein 36 substantially the form attached hereto and marked Exhibit D,andthe Master Indenture 37(includingtheform of the Obligation assetforththerein)isherebyapproved,withsuchchanges 38 therein asshall approved bythe Chair orViceChair executing theLoan Agreement,withsuch 39 execution of the Loan Agreement to constitute conclusive evidence of such officer's approval 40andthe Authority's approval of anychangesthereinfromtheform of Master Indenture 41 (including theform of the Obligation assetforth therein)attached hereto. Page 8 of 11 CHl-1580I42v5 Res.No.HFA 2-07-3 1 Section 10.Authorization of Execution and Delivery of Tax Exemption Agreement. 2TheAuthoritydoesherebyauthorizeandapprovetheexecutionbytheChairorVice 3Chair of theAuthorityandthedeliveryofaTaxExemptionAgreementtobedatedthedate of 4theissuanceanddeliveryoftheSeries2007Bonds(the"TaxExemptionAgreement")amongthe 5Authority,theBondTrusteeandtheBorrowersestablishingaRebateFundthereunderinorderto 6provideforcertainpaymentstotheUnitedStatesasrequiredbyapplicableTreasuryRegulations. 7TheTaxExemptionAgreementshallbeinsuchformasisapprovedbytheChairorViceChair 8executingthesame,withsuchexecutiontoconstituteconclusiveevidence of such officer's 9approvalandthe Authority's approvaloftheform of TaxExemptionAgreement. 10 Section 11.Ratification of Preliminary Official Statement and Authorization of 11 Official Statement. 12The Authority herebyratifiestheuseandthe distribution bythe Underwriter ofa 13 Preliminary OfficialStatementofthe Authority andthe Borrowers (the"Preliminary Official 14Statement")inconnectionwiththeofferingoftheSeries2007Bonds.TheAuthorityhereby 15 authorizestheuseanddistributionbytheUnderwriterof,andtheChairorViceChairofthe 16 Authorityisherebyauthorizedand empowered,forandonbehalfoftheAuthority,toexecute 17 anddeliver,anOfficialStatement of theAuthorityandtheBorrowers(the "Official Statement"), 18in substantially theformofthe Preliminary Official Statement attachedheretoandmarked 19Exhibit E inconnectionwiththeofferingoftheSeries2007Bonds,butwithsuchchanges 20 therein asmaybe necessary toreflectthesaleofthe Series 2007 Bonds ontheterms hereby 21 authorizedandwithsuchfurtherchangesthereinastheChairorViceChairshalldeemnecessary 22ordesirableas conclusively evidencedbysuch officer's executionthereof. 23 Section 12.Authentication and Delivery of Series 2007 Bonds. 24 Upon the execution ofthe Series 2007 Bonds in accordance with the provisions ofthe 25Bond Indenture,theChairorViceChairofthe Authority shalldepositthesamewiththeBond 26Trusteefor authentication anddeliverytooruponthe instructions ofthe Underwriter.TheBond 27 Trustee is hereby requested to authenticate and deliver the Series 2007 Bonds in accordance with 28theBondIndenture.TheChairorViceChairshallreceiveandreceiptfortheproceedsofthe 29sale of theSeries2007Bondson behalf oftheAuthorityandshalldepositsaidproceedswiththe 30BondTrusteetobeappliedinthemannersetforthintheBondIndenture. 31 Section 13.Securities Laws. 32TheAuthoritydoesherebyauthorizeitsMembers,officialsandofficerstotakeorcause 33 tobe talcen allactiondeemednecessaryoradvisableinordertocomplywiththerequirements of 34the securities or"BlueSky"lawsofany jurisdiction in connection withtheofferingandsaleof 35 the Series 2007 Bonds. 36 Section 14.Bond Validation. 37PursuanttoSection75.05(3),Chapter75,FloridaStatutes,asamended,theAuthority 38herebyelectsnotto validate theissuance of theSeries2007Bonds. Page 9 of 11 CHl-1580142v5 Res.No.HFA 2-07-3 1 Section 15.Further Acts. 2TheChairorViceChairandany of theDesignatedMembersshallsignallnecessary 3documentsonbehalf of theAuthoritytocomplywiththe requirements of theBondIndenture 4andtheBondPurchaseAgreementandshallfurnishthe Borrowers andtheUnderwriterwith 5such further assurances astheymay reasonably require ofthe Authority in connection withthe 6 issuance and sale of the Series 2007 Bonds. 7 Section 16.Ratification of Acts. 8All of thethingsanddoings of the Members,officials,officers,agentsandemployees of 9the Authority whicharein conformity withtheintentand purposes ofthis Resolution,whether 10 heretoforeorhereaftertakenordone,shallbeandareherebyratified,confirmedandapproved. 11 Section 17.Severability. 12Ifanysection,paragraph,clauseor provision ofthis Resolution shallbeheldtobeinvalid 13orineffectiveforanyreason,the remainder ofthis Resolution shallcontinueinfullforceand 14effect,itbeingexpresslyherebyfoundand declared thatthe remainder ofthisResolutionwould 15 havebeenadopteddespitetheinvalidityor ineffectiveness ofsuchsection,paragraph,clauseor 16 provision. 17 Section 18.Effective Date;Conflicting Previous Resolutions Superseded. 18 ThisResolutionshalltakeeffect immediately uponits adoption,andanyprovisionsof 19 anypreviousresolutionsinconflictwiththeprovisionshereinareherebysuperseded. PagelOofll CHI-1580142v5 Res.No.HFA 2-07-3 1 PASSED AND ADOPTED this 23rd day of April,200px OTEST 2 3 READ AND APPROVED AS TO FORM: BOARD VOTE: Chair Artecona: Vice Chair Acker: Member Garcia: Member Capo: Member Mann:AUTHORITY COUNS CHI-1580142v5 Page 11 of 11 3-0 Yea Yea absent Yea Yea